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Ethers price could be on track to reach a new all-time high as the industry is about to witness the launch of the first spot Ether exchange-traded funds (ETFs), which could occur as soon as next week.

Ethers (ETH) price could be on track to a new all-time high after the launch of the first United States spot Ether ETFs, according to Matt Hougan, chief investment officer of Bitwise.

Hougan cited three main reasons for Ether reaching a new all-time high, including ETHs inflation rate, the fact that Ether stakers arent selling like Bitcoin (BTC) miners and that 28% of Ether supply is already out of the market.

In a July 16 blog post, Hougan wrote:

Other factors also point to an incoming rally, including the number of Ether withdrawals from centralized exchanges, according to crypto analyst Leon Waidmann.

The analyst wrote in a July 19 X post:

However, Ether futuressuggest little confidence in the chance of Ether breaking above the $4,000 mark in the short term, as the $3,500 mark remains a significant resistance zone.

Ethers relative strength index (RSI) also suggests that Ethers price needs to cool down before rallying to a new all-time high. On the daily chart, Ethers RSI rose to 58, which suggests that the asset is not yet overbought but is trading above its fair value, according to TradingView data.

The RSI is a popular momentum indicator used to measure whether an asset is oversold or overbought based on the magnitude of recent price changes.

Related: Bitcoin analysts say 74K is the next stop for BTC price

Ethers price could first see a sell-the-news event after the initial ETF launch before starting its sustained rally toward new all-time highs.

Hence, the real opportunity to invest in Ether long term could come after the first few weeks of the ETF debut, according to Alvin Kan, chief operating officer of Bitget Wallet.

Kan told Cointelegraph:

ETHs price will be able to climb in a more sustained manner after the initial shakeout, added Kan:

Other analysts expect the Ether ETF to have wider ramifications on the altcoin market. For instance, popular crypto trader Mikybull expects the ETFs to catalyze the next altcoin bull market cycle.

The trader wrote in a July 19 X post:

Ethers price rallied over 11% during the past week, but ETH is still trading 29% below its old all-time high of $4,890 reached in November 2021.

Related: Bitcoin bears trapped, but can BTC price surpass $70K by August?

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

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Can ETH price crack $3.5K? Ethereum ETF debut will precede new highs, analysts say - Cointelegraph