Ether ETFs could attract $15 billion

One crypto expert is optimistic: Ether ETFs could get $15 billion in net inflows through the end of 2025. What's behind this Ethereum prediction?

Bitwise Chief Investment Officer Matt Hougan is optimistic in his latest report. According to Hougan, soon-to-be Ether ETFs can expect inflows of as much as $15 billion in the first 18 months.

His prediction is based on an analysis of available data, such as Ether's market capitalization compared to Bitcoin, the international crypto-ETP market, and the conversion of Grayscale's Ethereum Trust (ETHE).

Meanwhile, the Ethereum price stands at €3.167, down slightly 0.4 percent over the past 24 hours. With that, Ether is currently holding up slightly better than its major rival Bitcoin.

"I expect investors to roughly align their allocation in BTC and ETH ETPs with their market capitalization. BTC: $1,266 billion (74% of the market) and ETH: $432 billion (26% of the market)", Hougan writes.

In addition, he notes that Canada and Europe show a similar distribution of investments between the two cryptocurrencies, with Bitcoin ETPs making up about 78 percent and Ethereum ETPs about 22 percent of total assets under management. Due to regulations, there are no Bitcoin or Ethereum ETFs in many countries as there are in the United States. In the EU, for example, bonds are traded on exchanges instead of index funds.

Potential ETF issuers and their S1 applications are currently being finalized. These applications must still be approved by the U.S. Securities and Exchange Commission (SEC) before index fund trading can begin.