Bloomberg ETF Analyst Ethereums Value Relatively Difficult to Grasp Can Only Play a Supporting Role to Bitcoin

Bloomberg ETF Analyst Ethereums Value Relatively Difficult to Grasp Can Only Play a Supporting Role to Bitcoin

Bloomberg ETF Analyst Ethereums Value Relatively Difficult to Grasp Can Only Play a Supporting Role to Bitcoin

According to a report by Cointelegraph, Bloomberg’s senior ETF analyst Eric Balchunas told the media that a potential US Ethereum spot ETF may only serve as a “sidekick” to the Bitcoin spot ETF.

Eric Balchunas stated that the inflows generated by an Ethereum spot ETF may disappoint many compared to the record-breaking inflows of a Bitcoin ETF. Eric Balchunas said:

Eric Balchunas explained that while Bitcoin’s value proposition as “digital gold” is relatively easy to understand, Ethereum and its broader decentralized finance (DeFi) ecosystem are more akin to tech stocks, making it harder for traditional retail investors to grasp.

Data from Dune shows that the US spot Bitcoin ETF accumulated over $7.01 billion worth of Bitcoin in its first week of trading, a milestone that may be challenging for an Ethereum spot ETF to achieve.

However, Ophelia Snyder, co-founder of 21Shares, still believes that the launch of an Ethereum ETF will perform well in terms of fund inflows. She told Cointelegraph:

Nevertheless, considering the significantly higher than usual fund inflows during the launch of the Bitcoin ETF, Ophelia Snyder also reminds investors to adjust their expectations.