K33 Research Advises Shifting Focus from Ether to Bitcoin Amid ETF Debut

Bitcoin ETF Ethereum
Last updated:
Author
Fredrik Vold
Author Categories
About Author

Last updated:
Why Trust Cryptonews
Cryptonews has covered the cryptocurrency industry topics since 2017, aiming to provide informative insights to our readers. Our journalists and analysts have extensive experience in market analysis and blockchain technologies. We strive to maintain high editorial standards, focusing on factual accuracy and balanced reporting across all areas - from cryptocurrencies and blockchain projects to industry events, products, and technological developments. Our ongoing presence in the industry reflects our commitment to delivering relevant information in the evolving world of digital assets. Read more about Cryptonews
Source: Traxer / Unsplash

Crypto analysis firm K33 Research has suggested that investors consider shifting their focus from Ether (ETH) to Bitcoin (BTC) following Monday’s debut of Ether futures-based exchange-traded funds (ETFs) in the US.

The launch of these ETFs, including offerings from VanEck, ProShares, and Bitwise, did not generate the same level of attention and trading activity as the introduction of Bitcoin futures ETFs in 2021.

In a market update from Tuesday that was first reported on by The Block, K33 Research analysts Vetle Lunde and Anders Helseth said the Ether ETFs experienced unexpectedly weak performance, accumulating just $8.5 million in assets under management on their launch day.

In contrast, Bitcoin ETFs amassed a substantial $576.5 million in AUM at their debut.

Ether optimism has faded

In their report, the two analysts pointed out that while the anticipation surrounding the Ether ETFs led to increased Ether futures premiums, this optimism quickly faded due to the lackluster results.

Furthermore, the ETFs failed to reverse the ongoing trend of Ether’s declining value relative to Bitcoin, which has persisted for over a year.

Comparing this scenario to the 2017 launch of regulated Bitcoin futures contracts on the CME exchange in the US, Lunde and Helseth noted that it took years for institutional investors to embrace the Bitcoin futures market.

This stands in contrast to the rapid adoption of Bitcoin futures ETFs in 2021.

According to the analysts, this could mean that it is time to reallocate from Ether to Bitcoin.

“We no longer see a strong bull case for ETH/BTC in the short term,” they said.

Overall, the report said that traders are now divided in their outlook for the crypto market, with futures market data pointing to bearish sentiment while options data reveal a preference for bullish call options.

More Articles

Press Releases
Bitcoin Meme Coin BTC Bull Token Hits $800K in 48 Hours – Offers New Way to Earn BTC Passively
2025-02-12 16:40:30
Opinions
From Cypherpunks to Network States: How Web 3 Culture is Reshaping Digital Value
Roger M. Benites
Roger M. Benites
2025-02-12 16:32:16
Crypto News in numbers
editors
Authors List + 66 More
2M+
Active Monthly Users Around the World
250+
Guides and Reviews Articles
8
Years on the Market
70
International Team Authors