Cryptocurrency trading firm QCP Capital has offered insights into the potential outperformance of Ethereum (ETH) compared to Bitcoin (BTC) in the medium term. The firm’s projections are grounded in the market’s anticipation of an approved Ethereum spot Exchange-Traded Fund (ETF) in the United States, mirroring the recent approval of a Bitcoin spot ETF.
In recent trading activities, the “ETH/BTC” pair has witnessed noteworthy volatility, reaching a peak that exceeded 0.06 BTC. QCP Capital posits that Ethereum’s value might experience a substantial upswing, bringing its market capitalization close to the $750 billion threshold if it follows a trajectory akin to Bitcoin’s valuation post-ETF approval.
The heightened interest from institutional investors in the cryptocurrency space is evident through substantial investments from entities like ARK Invest. Notably, financial giant BlackRock (NYSE:BLK) has taken steps to submit applications for an Ethereum spot ETF, signaling a broader acceptance of digital assets within traditional investment firms.
While the outlook for Ethereum appears promising, a key factor in the equation is the Securities and Exchange Commission (SEC). The SEC‘s decision on an Ethereum ETF may be deferred until after the U.S. presidential election in November, adding an element of uncertainty to the timeline for potential approval.
