Arthur Cheong, the founder and CEO of DeFiance Capital, predicts that Ether (ETH) could rally to $4,500 before the first spot Ether exchange-traded funds (ETFs) start trading. Cheong shared his prediction in a May 26 post on X (formerly Twitter) to his 167,000 followers:
“4.5k before spot ETF goes live for trading [in my opinion].”
Current Ether Price and Market Context
At the time of Cheong’s post, Ether was trading at $3,903, marking a 2.57% increase in the previous 24 hours. If Cheong’s prediction comes true, Ether would see a 15% rally from its current price to reach the $4,500 mark, according to CoinMarketCap.
SEC Approval and ETF Issuers
Cheong’s prediction follows the U.S. Securities and Exchange Commission’s (SEC) approval of 19b-4 filings for eight spot Ether ETF issuers on May 23. This approval allows these ETFs to be listed and traded on their respective exchanges. The first batch of approved ETFs includes filings from VanEck, BlackRock, Fidelity, Grayscale, Franklin Templeton, ARK 21Shares, Invesco Galaxy, and Bitwise.
Also Read: Spot Ethereum ETF Approval Could Benefit Bitcoin: Michael Saylor
Further Approvals Needed
While the SEC’s approval of the 19b-4 filings is a positive step, ETF issuers still need to gain approval for their S-1 filings, which outline the ETF’s detailed information and are necessary for launching the funds. Bloomberg ETF analyst James Seyffart noted in a May 20 post on X that this approval process could take weeks to months:
“It could be weeks to months before we see S-1 approvals and thus a live ETH ETF… That said, if we’re correct and we see these theoretical approvals later this week. It should mean that S-1 approvals are a matter of ‘When’ not ‘If’…”
The anticipation surrounding the approval and launch of Ether ETFs has already created significant market interest. If Cheong’s prediction holds true, the approval process could catalyze a substantial price rally, pushing Ether to new highs.
