BlackRock Ethereum ETF Surges Past $3B as Analysts Eye ETH Rally to $15,000

On Dec 13, 2024 at 9:04 am UTC by · 3 mins read

BlackRock’s Ethereum ETF is leading a strong wave of inflows in the Ether ETF market, with cumulative inflows climbing beyond $3 billion.

BlackRock, known for dominating the spot Bitcoin ETF market, is consistently drawing investor interest in the spot Ethereum ETF market as well. Since November 29, the BlackRock iShares Ethereum ETF (ETHA) has recorded net inflows surpassing $1.3 billion in just ten trading days. Cumulatively, the fund has attracted an impressive $3.19 billion since its launch, with total net assets standing at $3.81 billion.

While ETHA continues to break records, it is part of a broader trend in Ethereum ETFs. Grayscale’s Mini Ether ETF (ETH) and Fidelity’s FETH also witnessed major inflows of $603 million and $1.37 billion, respectively, since their launch. Collectively, all Ether ETFs have drawn $2.24 billion in inflows since their introduction in late July, despite competing against major outflows from the Grayscale Ethereum Trust (ETHE), which saw $3.5 billion withdrawn during the same period.

This influx underscores a growing appetite for Ethereum-based ETFs. Notably, the surge in inflows appears to have gained momentum following the election of Donald Trump as the president-elect, which has raised investors’ hopes for a crypto-friendly regulatory environment.

Meanwhile, despite other asset managers exploring altcoin ETFs, BlackRock has firmly focused on its Bitcoin and Ethereum offerings. According to Jay Jacobs, BlackRock’s US Head of Thematic and Active ETFs, the potential for institutional interest in the top two crypto ETFs remains immense, with the market only beginning to scratch the surface.

Is Ethereum Ready for a Breakout?

Ethereum’s price movement has mirrored the growing demand for the linked investment funds. After bouncing back to the $4,000 mark on Friday, it is trading slightly lower at $3,900 at the time of writing. With a market cap of $468 billion, Ethereum’s price outlook hinges on its ability to surpass critical resistance levels.

To sustain its upward momentum, Ethereum ETH $1 803 24h volatility: 1.6% Market cap: $217.55 B Vol. 24h: $14.56 B must achieve a daily close above $3,930 and overcome a major resistance zone at $4,093, where selling pressure has previously been high. Failure to do so could lead to a retracement, testing support levels near $3,550.

However, market analysts remain bullish on Ethereum’s prospects. Many predict a mega rally, with prominent traders expressing confidence in ETH’s potential. A widely followed Ethereum trader on X predicts that breaking the $4,000 mark will set the stage for a rally to $10,000. Meanwhile, crypto analyst KALEO has set an ambitious near-term target of $15,000 for the second-largest cryptocurrency.

Similarly, VentureFounder, another popular crypto analyst, forecasts ETH to reach $15,937 by May 2025. For the short term, the analyst suggests that Ethereum could climb back to its all-time high of $4,900 within weeks if it records three weekly green candles.

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