Crypto investor Chris Burniske says that Ethereum (ETH) could have a surprise rally this cycle if one key event takes place.
The former head of crypto at ARK Invest tells his 292,200 followers on the social media platform X that traditional finance (TradFi) may suddenly rush into Ethereum for the project’s fundamentals, sparking a massive rally.
“Don’t think ETH outperforms SOL this bull [market cycle], but extreme sentiment sets it up to surprise – could still see it outperforming BTC from here (call me a dreamer). It’s less liquid than BTC, and once TradFi groks it’s a ‘growth asset with a healthy dividend,’ things could get….”
However, the investor warns that on the flip side, Ethereum may remain relatively unpopular for a while.
“The counter to this is last cycle was painful for BTC, as an excess of arrogance in the ’18/19 bear [market] led it to fall out of touch with the market in ’21 (it was called ‘boomer coin’), later leading to a renaissance. Could argue that this cycle is ETH’s turn to soul search.”
He also predicts that newly launched spot Ethereum exchange-traded funds (ETFs) are likely to see a similar strong trend of outflows as the spot BTC ETFs, which launched in January.
“Don’t forget BTC dipped for a short period after its ETFs launched as selling out of GBTC [Grayscale Bitcoin Trust] was immense. At the moment, it looks like ETH is following a similar pattern with ETHE [Grayscale Ethereum Trust] exits, before sustained buying flows into these ETFs likely take over.”
Ethereum is trading for $3,280 at time of writing, up more than 1% in the last 24 hours.
Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inboxCheck Price Action
Follow us on X, Facebook and Telegram
Surf The Daily Hodl Mix
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: Midjourney
