Ethereum

Economist Alex Krüger says the ‘base case’ is that Ethereum will hit new all-time highs and Bitcoin will be much higher by the end of the year

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Closely followed trader and economist Alex Krüger believes that Ethereum (ETH) is heading towards new all-time highs (ATH) thanks to a key catalyst.

Kruger tell his 175,400 followers on social media platform

THE odds for the approval of an ETH ETF by the United States Securities and Exchange Commission (SEC) suddenly rose this week, and ETH is up more than 20% in the past day.

He also believes that Bitcoin (BTC) will be “much higher” before the end of 2024.

“My basic scenario was:

  • Bitcoin much higher at the end of the year.
  • Ethereum Underperforming Due to ETF Rejection.
  • Ethereum outperformed from the US elections as the elections would lead to a [SEC Chair Gary] Removal of Gensler and subsequent approval of the ETF in 2025.

An ETH ETF approval this week would move everything forward. [May 21st’s] This move was simply about repositioning the market and closing short positions (see open interest chart below), as almost no one expected approval. Then would come the inflows, which would push ETH towards the ATHs. Don’t make an endorsement disappear. Its price is not even taken into account. The market would probably return to the “you really are a genius” trend. With ETH in the lead for some time. Even after today, ETH/BTC is still red year-to-date. It’s time for this to continue much higher.

Note: Although now unlikely, if the ETF is rejected we will be in for a world of hurt. Keep alerts enabled during U.S. business hours through the 23rd.”

Source: Alex Kruger/X

Ethereum is trading at $3,809 at the time of writing, up more than 22% in the last 24 hours. ETH reached its ATH of around $4,900 in November 2021.

Kruger suspects The SEC is facing political pressure to approve ETH ETF applications due to politics around the November US presidential election.

“Many will disagree, but I believe the SEC’s apparent change in position was politically motivated, coming from the top of the Democratic Party and in the run-up to the election. Possibly triggered by Trump’s sudden support for crypto, forcing Democrats’ hands.

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