According to K33 senior analyst Vetle Lunde, the gravitational pull in the crypto market currently remains in Bitcoin (BTC). Analysts at K33 Research have advised investors to rotate back into BTC due to the lackluster performance of nine new Ethereum futures exchange traded funds (ETFs). The initial trading volume of Ether futures ETFs accounted for only 0.2% of what the ProShares Bitcoin Strategy ETF (BITO) amassed on its first day of trading. This underwhelming performance has led to a decrease in institutional appetite for Ether ETFs. Lunde noted that increased institutional access to crypto investments will only create buying pressure if there is significant unsatiated demand, which is not currently the case for ETH. The report also suggests that the crypto market lacks short-term price catalysts and is likely to continue on a sideways trajectory. However, Lunde believes that this landscape is favorable for Bitcoin, with potential ETF approval and the upcoming halving event. Ben Laidler, global markets strategist at eToro, also predicts a similar path ahead for crypto assets, but with a slightly more bearish sentiment due to current macro trends such as rising oil prices. In summary:
– The gravitational pull in the crypto market currently favors Bitcoin.
– The lackluster performance of Ethereum futures ETFs has prompted analysts to advise rotating back into BTC.
– Initial trading volume of Ether futures ETFs was significantly lower than that of Bitcoin futures ETFs.
– Institutional appetite for Ether ETFs has decreased.
– The crypto market lacks short-term price catalysts and is expected to continue sideways.
– Bitcoin has potential ETF approval and the upcoming halving event on its side.
– Rising oil prices could have a cooling effect on sentiment in the crypto market.