Originally published on: November 28, 2024
The demand for leveraged Ether-based trading products has skyrocketed, indicating a potential push for the second-largest cryptocurrency to surpass the $4,000 mark.
Investors are showing a growing interest in opening leveraged Ether positions, allowing them to borrow funds temporarily to increase their trading positions.
According to Vetle Lunde, head of research at K33 Research, demand for the VolatilityShares 2x Leveraged Long ETH ETF has surged over 160% since Nov. 5, following Donald Trump’s victory in the 2024 presidential election.
Although Ether’s price has lagged behind Bitcoin, analysts believe this trend could shift after a recent price slump. Some experts predict that Ether could reach $20,000 at the peak of the 2025 bull cycle based on emerging technical chart patterns.
With positive flows into Ether ETFs and increasing spot buying pressure, Ether may be poised for further gains in the coming weeks. Analysts anticipate a rally that could take Ether beyond the $4,000 psychological barrier.
Moreover, stablecoin inflows to exchanges in November and Bitcoin’s price movements could also support Ether’s upward momentum. Despite Bitcoin’s price approaching $100,000, remaining under this level could serve as a positive factor for Ether’s price performance.
Continued inflows into Ether ETFs, with net positive inflows exceeding $90 million for four consecutive days, suggest a bullish outlook for Ether’s price trajectory.
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