While Bitcoin fell sharply after the Spot ETF approval, the largest altcoin, Ethereum, rose.
While there are claims that a spot Ethereum ETF may receive approval following this rise in ETH, QCP Capital analysts evaluated ETH in their latest report.
At this point, QCP Capital analysts said they expect ETH to continue outperforming BTC in the medium term as the spot Bitcoin ETF approval translates into a potential spot ETH ETF approval.
Analysts also stated that the current level of the ETH/BTC trading pair continues to be a sign that Ethereum will outperform Bitcoin.
“As the Spot Bitcoin ETF approval narrative progresses towards potential ETH Spot ETF approvals, we expect ETH to continue to outperform BTC in the medium term.
This expectation is also supported by the ETH/BTC trading pair.
Additionally, since the launch of the BTC spot ETF, BTC futures have also fallen more than ETH futures. “At this point, ETH futures continue to return 11-13% annually despite the decline in yields and still look attractive.”
Finally, after the spot Bitcoin ETF approval, analysts said that the important events to follow in the crypto market this year are the BTC halving (mid-April) and possible spot ETH ETF approvals from May.
Stating that cryptocurrency prices may be affected by macroeconomic events other than the BTC halving and possible spot ETH ETF approvals, analysts said that they are closely following the FED's January interest rate decision and the NFP and CPI data in February.
*This is not investment advice.