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Disclaimer: This story was originally published on May 21, 2024

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Global financial services provider Standard Chartered Bank has expressed confidence in the imminent approval of Ether (ETH) exchange-traded funds (ETFs) by the United States Securities and Exchange Commission (SEC) this week.

The institution’s optimistic prediction comes as the first round of deadlines for spot Ether ETF applications approaches, with VanEck and Ark Invest/21Shares leading the way.

Geoff Kendrick, Head of FX Research and Digital Assets Research at Standard Chartered, predicts that spot ETH ETFs could attract inflows of 2.39-9.15 million Ether within the first year of approval, translating to $15 billion to $45 billion in US dollars. This would mirror the patterns observed with Bitcoin ETFs, where the bank’s initial inflow estimates proved accurate.

Kendrick further projects that if spot Ether ETFs receive the green light, ETH could potentially reach $8,000 by the end of 2024, maintaining its current price ratio with Bitcoin.

Based on Standard Chartered's Bitcoin forecast of $150,000 for year-end 2024 and $200,000 by the end of 2025, this would suggest a potential ETH price of $14,000 by the end of 2025.

The SEC’s recent request for updated 19b-4 filings for spot Ether ETFs has fueled speculation of imminent approval. Bloomberg ETF analysts James Seyffart and Eric Balchunas have increased their approval probability from 25% to 75%.

This positive outlook has already triggered a surge in ether futures open interest, reaching a record $14 billion on centralized exchanges, reflecting heightened market interest and activity.

Ether’s price has responded favorably to these developments, increasing by over 19% in the past 24 hours to reach $3,719 at 6:49 a.m. ET. The broader cryptocurrency market, as represented by the GM 30 Index, has also seen a 9.25% increase in the same period.

While the anticipation for spot Ether ETFs is palpable, it’s important to note that SEC approval is not guaranteed. However, the recent developments and optimistic forecasts from Standard Chartered have undoubtedly intensified the spotlight on Ether and its potential trajectory in the coming months.