Ethereum ETF is expected to draw up to $10 billion in new inflows shortly after their launch, potentially driving Ether (ETH) prices to new all-time highs by the end of the year, according to Tom Dunleavy, a managing partner at crypto investment firm MV Global.

Substantial Inflows Anticipated

Dunleavy told Cointelegraph that Ethereum ETFs could see inflows between $5 billion and $10 billion, predicting a significant positive impact on ETH prices by early Q4. This prediction comes as eight spot ETH ETFs await final approval from United States regulators, with trading anticipated to begin imminently. These funds will join the existing dozen Bitcoin ETFs, which have collectively amassed around $15.9 billion since January.

ETH’s Unique Positioning

Dunleavy forecasts that ETH ETFs will attract approximately $1 billion monthly in the coming months. He believes that ETH’s lower availability on exchanges than Bitcoin (BTC) means its spot price will respond more to ETF inflows. “The BTC ETF led to a 36% price appreciation from its January launch to the peak, and over 50% from initial speculation,” Dunleavy noted in a Q2 investor memo shared with Cointelegraph.

Dunleavy argues that ETH’s value proposition is easier for traditional investors to grasp compared to Bitcoin’s “digital gold” narrative. “ETH can be described as a tech stock, the app store of crypto, or an internet bond,” he explained. This clear narrative, combined with ETH’s cashflows, makes it an attractive option for financial advisors.

Current Performance and Future Outlook

While ETH’s performance has lagged behind BTC’s this year, with deeper drops during downturns, Dunleavy suggests that a rebound in ETH may not extend to altcoins. He attributes this to the differing investor bases, noting that Ethereum ETF investors are likely to be traditional investors rather than on chain users.