Bitcoin And Ethereum Increase: Crypto Market Analysis And ETF Spot Prospects
JAKARTA - The recovery of the crypto market from low points last week showed signs of sustainability, with the price of Bitcoin (BTC) in the last four weeks to the level of 66,920 US dollars on July 23, 2024, although it had fallen below $63,000 in previous days.
On the other hand, crypto market data institution Kaiko actually highlighted Ethereum (ETH) and projected that Ethereum (ETH) could outperform Bitcoin relatively after the launch of the ETF spot in the United States. However, the market is also considered looking forward to Ethereum's spot products with high optimism, especially after the listing of institutional fund flows prior to launch. Despite the decline following the 19b-4 agreement by Securities and Exchange Commission (SEC), investors remain optimistic about the long-term prospects of the asset.
In terms of ratio, Ethereum's ETF is pushing the price of these assets to grow faster than Bitcoin. With the rising price ratio between Ethereum and Bitcoin from the previous 0.045 to 0.05, it shows that the Ethereum value is getting higher after its 19b-4 destination by the SEC.
Therefore Spot ETF Ethereum is expected to attract institutional flow of funds to the market which leads to an increasing interest of traditional investors in this coin due to smart contract functionality and the large number of decentralized applications (DApps) in its ecosystem.
Apart from dominating the market with billions of funds from investors. Spot ETF has opened new optimism for markets that have not made profits after the implementation of the Bitcoin ETF spot which was implemented on January 11. The success of Bitcoin products at that time attracted investors' interest in Ethereum with optimism that this event will also continue on the Ethereum Spot ETF.
The price of ETH in the last 24 hours, trading at $3.519, the lowest and highest asset prices in the last 24 hours were $3.430 and $3.519.
"The recovery in the price of Bitcoin and the rise of Ethereum show that the crypto market still has a strong appeal among investors, both retail and institutional. Despite concerns about the distribution of assets from one of the largest exchanges abroad (Mt.Gox), I believe that the market can overcome this liquidation well considering the depth and liquidity that exists today. This is a sign that the crypto market is getting more mature and ready to face major challenges," said Oscar Darmawan, CEO of INDODAX in a written statement, quoted Wednesday 24 July.
Oscar Darmawan also added that with the launch of the Ethereum ETF spot in the United States, the functionality of smart contracts and the ecosystem of rich decentralized applications could make Ethereum very attractive to institutional investors.
According to Oscar Darmawan, Ethereum has its own advantage over Bitcoin, especially in terms of smart contract functionality and its use that can be applied into various applications. This makes Ethereum a more attractive asset class for institutional investors looking for diversification of their digital assets.
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Ethereum's vision is different from Bitcoin. Bitcoin focuses more on being the world's digital currency equivalent to gold. Meanwhile, Ethereum aims to become a blockchain-based decentralized operating system.
"At INDODAX, we are always committed to providing the best platform for our users to invest in digital assets. The launch of the Ethereum ETF spot is proof that the crypto market continues to grow and become more mature. Hopefully, this will bring more trust and participation from various circles," Oscar added.
Investors can invest Bitcoin and Ethereum assets on the INDODAX platform. Investors can use the Rutin Investment' feature with the Dollar Cost Averaging (DCA) technique. This technique is an investment strategy in which an investor buys assets regularly at a fixed amount, regardless of the current price. DCA allows investors to reduce the risk of buying at the highest price peak and remains consistent at all times.