Spot Ethereum ETFs Emerge in Weak Market, Potentially Risking Bitcoin, Says Capriole Investments’ Charles Edwards

  • Spot Ethereum ETFs have entered the market under bearish conditions, raising concerns about their impact on Bitcoin.
  • The early market entry of these ETFs might pose risks to Bitcoin if new capital doesn’t enter the market, says Charles Edwards.
  • According to Edwards, it would have been better to have only Bitcoin ETFs in 2024.

Spot Ethereum ETFs launched under weak market conditions could jeopardize Bitcoin, warns Charles Edwards of Capriole Investments.

Early Introduction of Spot Ethereum ETFs in a Weak Market

Charles Edwards, founder of Capriole Investments, has expressed concerns over the launch timing of spot Ethereum ETFs. Speaking to Cointelegraph, Edwards noted that these ETFs have been introduced in an already fragile market environment. If the market doesn’t see an influx of new capital, the presence of these Ethereum investment vehicles could potentially create risks for Bitcoin’s price stability.

Bitcoin’s Dominance Over Ethereum

Data from Farside shows that since the release of spot Bitcoin ETFs on January 11, investments have surged, with over $17.53 billion funneled into 11 different products. Despite the emergence of Ether ETFs on July 23, Bitcoin’s market dominance has remained relatively stable, showing a marginal 0.07% increase over the last 24 hours, according to TradingView.

Market Reactions to Spot Ethereum ETFs

During the first trading day of spot Ether ETFs on July 23, there was a notable net outflow of $78 million from spot Bitcoin ETFs. However, the subsequent two days saw net inflows of $44.5 million and $31.1 million, respectively. Edwards has commented that launching Ethereum ETFs in a weak market could contribute to market confusion and volatility.

Conclusion

In summary, the introduction of spot Ethereum ETFs has stirred the market, with potential implications for Bitcoin. Despite the mixed market reactions, Bitcoin has maintained its dominance. Investors should remain cautious and conduct thorough research before making any trading decisions.

BREAKING NEWS

Whale Boosts ETH Long to $19.7M After Closing $140M BTC Short, On-Chain Analyst Reports

COINOTAG reported on October 16 that on-chain analyst Ai...

Bitcoin Tests $110,000 Support Amid Whale Selling and $1.15B Put Surge — ETF Inflows Could Push Price to $150,000

BRN Research highlights that Bitcoin is testing a critical...

October 16 Pre-Market: Bitcoin-Linked US Crypto Stocks Rally as American Bitcoin (ABTC) and Coinbase Lead Gains

COINOTAG News reported on October 16 that pre-market trading...

Whale Flips From $140M BTC Short to 3x ETH Long, Opens $2.47M Position

COINOTAG News reported on October 16 that an on-chain...

$TLN listed on Bybit spot

$TLN listed on Bybit spot #TLN
spot_imgspot_imgspot_img

Related Articles

spot_imgspot_imgspot_imgspot_img

Popular Categories

spot_imgspot_imgspot_img