Pseudonymous trader and analyst Roman has made a bold prediction regarding the ETH price, suggesting that investors should lower their short-term expectations. This comes amid a drop in the hype around the Spot Ethereum ETFs, with these funds currently suffering significant outflows.
What To Expect From The ETH Price
Roman mentioned during an interview with Hall of Flame that he doesn’t see Ethereum “doing that well” for the next few months. The analyst believes that ETH will suffer a similar fate to the rest of the crypto market as Bitcoin sucks up all the liquidity while altcoins continue to trade sideways due to this.
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As such, Roman doesn’t expect the ETH price to enjoy any parabolic rally until traders begin to rotate their capital from Bitcoin into altcoins, with Ethereum likely to lead the pack when that time comes. The analyst also noted that this period will likely come when traders think Bitcoin is at or close to its market top.
The analyst highlighted the period in 2020 when Ethereum “didn’t really do well” until the flagship crypto hit $40,000. He noted that the ETH price was down 80% from its all-time high (ATH) while Bitcoin broke ATHs. Indeed, Ethereum is currently suffering a similar fate. Bitcoin hit a new ATH earlier this year, while ETH is down over 33% from its current ATH of $4,890.
Meanwhile, Roman explained how Ethereum will rise from the ashes when Bitcoin is almost or already at its peak. He stated that when Bitcoin starts to experience a significant price correction, after hitting a price target like $120,000, Bitcoin traders are taking profits and rotating it into Ethereum and other altcoins.
Interestingly, the crypto trader suggested that Ethereum’s success largely depends on Bitcoin. He claimed that the flagship crypto needs to continue to break new highs and rally much higher for money to flow into ETH and other altcoins. Meanwhile, Roman believes that the liquidity shift will happen before year-end.
How Much Could Flow Into The Spot Ethereum ETFs
Expectations for the Spot Ethereum ETFs have dropped since they began trading on July 23, with analysts like Sygnum Bank Head of Research Katalin Tischhauser suggesting that inflows into these funds could be lower than expected.
Tischhauser told The Block that the Spot Ethereum ETFs could witness as low as 15% of Bitcoin’s flows, with around $5 flowing into these funds in their first year of trading while $30…
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