Arthur Cheong, a seasoned investor in the cryptocurrency market, has made a bold prediction about the future of Ethereum (ETH). Cheong, the founder of DeFiance Capital, took to the social media platform X to share his insights with his 167,400 followers. According to Cheong, Ethereum could experience a significant rally of nearly 14% before the introduction of exchange-traded funds (ETFs) for the popular altcoin.

The recent approval by the U.S. Securities and Exchange Commission (SEC) for spot market Ethereum ETFs has opened the door for these investment products to be traded on American stock exchanges. Cheong believes that Ethereum could reach a value of $4,500 before the spot ETH ETFs become available for trading.

In addition to this bullish prediction, Cheong also speculates that the demand for spot ETH ETFs among retail investors will be comparable to the demand for spot Bitcoin (BTC) ETFs, which were launched earlier this year. He highlights the fact that more than 70% of spot BTC ETFs are owned by retail investors, and he expects a similar trend for Ethereum. Cheong emphasizes that Ethereum has a strong appeal for retail investors due to its role as the decentralized technology layer powering the web 3.0 economy. He also notes that many individuals were initially drawn to the crypto market in 2017 because of Ethereum.

Cheong’s optimism is shared by Matt Hougan, the chief investment officer of Bitwise, a crypto fund manager. Hougan recently predicted that the introduction of ETH ETFs would result in substantial investor inflows, potentially driving the value of Ethereum beyond its previous all-time high of approximately $4,900, which was achieved in November 2021.

At the time of writing, Ethereum is being traded at $3,957, reflecting a more than 3% increase in value over the past 24 hours. As the market eagerly awaits the launch of spot ETH ETFs, it remains to be seen whether Cheong’s and Hougan’s predictions will come to fruition.

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