{"id":84907,"date":"2024-07-24T04:29:07","date_gmt":"2024-07-24T08:29:07","guid":{"rendered":"https:\/\/coinscreed.com\/staging\/?p=84907"},"modified":"2024-07-24T04:30:30","modified_gmt":"2024-07-24T08:30:30","slug":"bitwise-cio-hints-at-more-crypto-etfs-after-ethereum","status":"publish","type":"post","link":"https:\/\/coinscreed.com\/staging\/bitwise-cio-hints-at-more-crypto-etfs-after-ethereum\/","title":{"rendered":"Bitwise CIO Hints at More Crypto ETFs After Ethereum"},"content":{"rendered":"\n

Spot Ethereum ETFs<\/a> made an impressive launch on Tuesday, attracting $107 million, so Bitwise CIO Matt Hougan is bullish for other\u00a0crypto ETFs, including Solana funds.<\/p>\n\n\n\n

\"Bitwise<\/figure>\n\n\n\n

Bitwise Asset Management's Chief Investment Officer, Matt Hougan\r\n \r\n \r\n \r\n <\/g>\r\n \r\n \r\n \r\n <\/clipPath>\r\n <\/defs><\/svg><\/span><\/a>, expressed optimism regarding the future of crypto exchange-traded funds (ETFs) upon the introduction of Spot Ethereum ETFs on July 23.<\/p>\n\n\n\n

Hougan underscored the exceptional reception of the recently introduced Ether ETFs.<\/p>\n\n\n\n

Furthermore, he believes that this has opened the door for other crypto ETF developments, such as the Solana (SOL) ETF.<\/p>\n\n\n\n

Bitwise CIO On Ethereum ETF Performance<\/h2>\n\n\n\n

Hougan observed that the Ether ETFs, which included Bitwise's own ETH ETF (ETHW), exceeded expectations.<\/p>\n\n\n\n

Moreover, ETHW alone seeing over $200 million in inflows on the first day. \u201cTo be honest, it\u2019s exceeded my expectations through lunchtime,\u201d Hougan remarked in a Bloomberg interview.<\/p>\n\n\n\n

He added, \u201cWe had about half a billion dollars traded in these new ETFs. By comparison, the average ETF trades about a million dollars on its launch day.\u201d<\/p>\n\n\n\n

The Ethereum ETFs are among the most successful ETF launches in history, with a substantial trading volume that is second only to Bitcoin ETFs.<\/p>\n\n\n\n

Moreover, the performance of Ether ETFs has substantial implications for the broader crypto market.<\/p>\n\n\n\n

Hougan proposed that the approval of these ETFs represents a new era in crypto investment.<\/p>\n\n\n\n

\u201cLong term, as we look into 2025, we\u2019ve entered the ETF era of crypto,\u201d he said. \u201cWe\u2019re going to see ETFs on multiple crypto assets; we\u2019re going to see index-based ETFs.\u201d<\/p>\n\n\n\n

Additionally, he emphasized that the Solana ETF filings by VanEck and 21Shares were already in.<\/p>\n\n\n\n

This enhances the likelihood that other altcoins will also establish a presence in the ETF market.<\/p>\n\n\n\n

In addition to the bullish narratives of other experts, Spot Ethereum ETFs experienced substantial inflows on the first day.<\/p>\n\n\n\n

ETH ETF Day 1 Inflows<\/h2>\n\n\n\n

BlackRock ETH ETF (ETHA) became the market leader among its peers on the first day of launch, with a total inflow of $265 million.<\/p>\n\n\n\n

Concurrently, Fidelity's Ether ETF (FETH) experienced inflows of over $70 million, while other participants, including Franklin, VanEck, Invesco, and 21Shares, experienced inflows of $5 to $15 million.<\/p>\n\n\n\n

However, Grayscale's ETHE fund experienced sizable outflows, which amounted to $484 million.<\/p>\n\n\n\n

These negative flows constituted an astonishing 5% of the $10 billion in assets under management.<\/p>\n\n\n\n

Grayscale transferred $1 billion to its Ethereum Mini-Trust to provide initial capital for the launch event, and this outflow occurred just one day later.<\/p>\n\n\n\n

Other Experts' Comments<\/h2>\n\n\n\n
\"Bitwise<\/figure>\n\n\n\n

Eric Balchunas, a Bloomberg analyst, emphasized the extraordinary nature of these initiatives.<\/p>\n\n\n\n

He noted on the social media platform X that ETHA had the highest day-one volume of all new launches in the previous year, excluding Bitcoin ETFs.<\/p>\n\n\n\n

He further stated that ETHW was rated fifth, FETH was ranked second, and other Ether ETFs also performed well.<\/p>\n\n\n\n

Similarly, Matthew Sigel, VanEck's Head of Digital Assets Research, underscored the favorable outcome for Ethereum ETFs, stating, “23% of Day 1 Spot Bitcoin ETF Volumes is a Great Result for #ETH ETFs, which collectively traded $1.1 billion.”<\/p>\n\n\n\n

Outlook For ETF Market<\/h2>\n\n\n\n

Hougan predicted that institutional investors would have a more substantial influence on the inflows of BTC and ETH ETFs in the future.<\/p>\n\n\n\n

According to the most recent 13F filings, institutional investors currently account for 5-6% of Bitcoin ETF inflows.<\/p>\n\n\n\n

He anticipates that the institutional migration will increase to 50%.<\/p>\n\n\n\n

Additionally, Spencer Bogart, the General Partner at Blockchain Capital, predicted that Ether ETFs could experience inflows over $10 billion within the initial year.<\/p>\n\n\n\n

In the same vein, Ryan Rasmussen, the Head of Research at Bitwise, predicted that the price of ETH could reach a new all-time high between $6,500 and $7,500.<\/p>\n\n\n\n

The U.S. Securities and Exchange Commission (SEC)'s approval <\/a>of Ethereum ETFs has spurred discussions regarding the potential introduction of ETFs for other altcoins.<\/p>\n\n\n\n

Geoffrey Kendrick, an analyst at Standard Chartered Bank, previously predicted that the SEC may approve ETFs for Solana (SOL) and Ripple-backed XRP by 2025.<\/p>\n\n\n\n

Kendrick observed that the market anticipates these developments; however, they are unlikely to transpire in 2024 as a result of the intricate approval procedure.<\/p>\n\n\n\n

He also indicated that the SEC's decision not to classify ETH as a security could have broader implications.<\/p>\n\n\n\n

He suggested that other cryptocurrencies with similar technology to Ether could also evade being classified as securities, which could potentially facilitate the launch of their own ETFs.<\/p>\n","protected":false},"excerpt":{"rendered":"

Spot Ethereum ETFs made an impressive launch on Tuesday, attracting $107 million, so Bitwise CIO Matt Hougan is bullish for other\u00a0crypto ETFs, including Solana funds. Bitwise Asset Management’s Chief Investment Officer, Matt Hougan , expressed optimism regarding the future of crypto exchange-traded funds (ETFs) upon the introduction of Spot Ethereum ETFs on July 23. Hougan […]<\/p>\n","protected":false},"author":56,"featured_media":84910,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[17080,20141,4520,16885,668],"class_list":["post-84907","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-bitwise-2","tag-ripple-xrp","tag-solana-etf","tag-spot-ethereum-etf","tag-vaneck"],"jetpack_featured_media_url":"https:\/\/coinscreed.com\/staging\/wp-content\/uploads\/2024\/07\/Bitwise-CIO-Hints-at-More-Crypto-ETFs-After-Ethereum.webp","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/84907","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/users\/56"}],"replies":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/comments?post=84907"}],"version-history":[{"count":0,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/84907\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media\/84910"}],"wp:attachment":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media?parent=84907"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/categories?post=84907"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/tags?post=84907"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}