Will Blackrock Explore ETFs for Chainlink, Solana, and Dogecoin? Expert Answers – Coinpedia Fintech News

Cryptocurrency analyst Lark Davis hinted at a potential boom for Ethereum with the registration of BlackRock’s IShares Ethereum Trust in Delaware. Expressing confidence in this prediction, Davis speculated that BlackRock wouldn’t undertake such a move unless they were pretty sure about obtaining approval for a Bitcoin spot ETF.

He playfully suggested that beyond Ethereum, BlackRock might eventually explore ETFs for other cryptocurrencies like Chainlink, Solana, and even Dogecoin. While BlackRock isn’t the first to file for a spot in Ethereum ETF, joining others like Invesco and Hashdex, Davis sees this as a sign of institutional interest aligning for a significant influx of institutional money.

Highlighting potential numbers, Davis discussed the current Ethereum holdings on exchanges, which amount to about 14 million ETH or $28 billion at the current price. He estimated that if Ethereum attracts half the inflows that Bitcoin does into ETF products, it could result in up to half of the available coins being acquired in the first year alone.

Referencing Galaxy Digital’s estimates for a Bitcoin ETF, Davis halved the numbers for Ethereum, projecting $7 billion in the first year, $14 billion in the second, and $20 billion in the third. He said that such inflows, coupled with increasing demand, could lead to a situation where every Ethereum is bought up within three years.

Beyond BlackRock’s potential move, Davis touched on other bullish catalysts for Ethereum. These include the monthly MACD nearing a bullish cross, with Ethereum catching up to Bitcoin’s trend. Additionally, he noted that 28.3 million ETH is currently staked, creating an over 2-year exit queue and restricting immediate dumping on the market. Davis also pointed out that Ethereum’s deflationary nature, EIP-4844 reducing gas fees on layer twos, and the ongoing migration to layer twos would further drive Ethereum’s growth.

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