Ethereum will outperform Bitcoin after ETF launch

These ETFs, expected to debut around July 8, could boost Ethereum's [$ETH ] price, while Bitcoin [$BTC ] might face sell pressure due to Mt. Gox's $8.5 billion creditor repayments.

K33 analysts Vetle Lunde and David Zimmerman noted Ethereum's [$ETH ] recent underperformance compared to Bitcoin, which saw significant gains from $14 billion in ETF inflows this year. They anticipate a temporary dip in Ethereum's price post-ETF launch but expect inflows to support its value, similar to Bitcoin's experience. Lunde views the current ETH/BTC price ratio as a bargain, predicting a bullish ETH outlook with net inflows potentially reaching 0.75-1% of Ethereum's circulating supply within five months.

Despite skepticism, with Ether futures trading at a discount to Bitcoin futures, the analysts remain optimistic. ETH/BTC saw a rise to 0.055 following the SEC's unexpected approval of Ether ETFs, reversing a decline that hit a low of 0.045 in May. High leverage in Ether futures indicates strong trader interest ahead of the ETF launch.