Ethereum (ETH) is experiencing a surge in optimism as the long-awaited approval of spot ETFs in the U.S. nears. Analysts predict significant inflows into these ETFs, fueling a potential price rise for ETH to $6,500 by the end of the year.

Key Drivers of Ethereum’s Bullishness

The SEC’s green light for spot ETFs is expected to unlock massive institutional investment in ETH. Steno Research predicts net inflows between $15 billion and $20 billion in the first year, significantly impacting ETH’s value.

ETF inflows will likely increase demand for ETH, while staking continues to reduce its circulating supply. This scarcity could drive the price upwards.

Steno expects the ETH/BTC ratio to reach 0.065 due to a potentially higher impact of inflows on ETH’s price compared to Bitcoin.

Current Landscape

While initial reports suggested a July 4th launch, the process is expected to take longer. Issuers need to address SEC comments and refile by July 8th, with a final launch date yet to be determined.

Ethereum 2.0 Staking Gains Traction

The number of unique depositors on the ETH 2.0 staking network has jumped by 4.35% since the SEC’s approval news, indicating growing investor confidence.

Regulatory uncertainty remains regarding the possibility of ETFs offering staking yields to investors.