The chief investment officer of Bitwise, a crypto fund manager, is optimistic about the future of Ethereum (ETH) and predicts that the approval of spot ETH exchange-traded funds (ETFs) will lead to new all-time highs for the cryptocurrency.

Recently, the U.S. Securities and Exchange Commission (SEC) approved a rule change that paves the way for the potential approval of spot market Ethereum ETFs.

During an interview on the Bankless podcast, Matt Hougan expressed his belief that ETH ETFs would attract billions of dollars in investor inflows, propelling the price of ETH beyond its previous all-time high of approximately $4,900, which was achieved in November 2021.

Hougan stated, “I don’t think Ethereum ETFs will reach the same level as Bitcoin ETFs, but I do believe that it will attract investments in the range of billions of dollars… Will this be enough to push Ethereum to new all-time highs? I definitely think that’s possible as well. If Bitcoin ETFs generated $12 billion in their first four months, I expect Ethereum ETFs to achieve less than half of that but more than a quarter. And that’s going to have a significant impact. It’s important to remember that this is happening in a market with no net new supply. So I believe there is genuine demand.”

Hougan also anticipates the future launch of ETFs that offer exposure to multiple digital assets and believes that there will be investor demand for various types of ETFs. He stated, “If we consider the ETF investor market in about a year from now, I estimate that 30% will be focused on Bitcoin only, around 50% will be a mix of different assets, and 20% will exclusively focus on ETH… Many professional investors seeking opportunities in the crypto market are searching for high-return assets with technological advancements. Ethereum perfectly fits into that narrative. So I expect to see all three types of ETFs, and I believe the overall market will benefit from having multiple crypto asset ETFs, if that is what we ultimately get. It will make the market feel more robust, more legitimate, and there will be more to discuss. I believe this will have a positive impact. These ETFs will be significant.”

As of now, Ethereum is trading at $3,736, experiencing a slight decline of over 1% in the last 24 hours.