Kraken Head of Strategy Thomas Perfumo said spot Ethereum (ETH) ETFs could help the crypto sector while commenting on political developments in the US.
On July 12, Perfumo told Bloomberg that spot Ethereum ETFs would attract capital flows while attracting attention to crypto, noting:
“It’s a rising tide, lifts all boat story. “
Perfumo further explained that Ethereum’s eventual value “hinges on the Ethereum ETF.”
He said that the crypto market is “pricing in” $750 million to $1 billion of net inflows to Ethereum products on a monthly basis, which would imply that Ethereum could reach all-time highs between $4,000 and $5,000.
Perfumo also compared expectations to Bitcoin’s all-time high in March, which he called a “quiet peak” that occurred without any evidence of millions of new investors entering the industry.
Political developments
Perfumo also commented on political developments. Early in the interview, he said US election outcomes will “set the tone for policy making and the legislative agenda for the next four years.”
He also emphasized the importance of legislative action and clarity and noted that recent developments show bipartisan support in Congress.
The House recently decided to pass the Financial Innovation and Technology for the 21st Century Act (FIT21) and attempted to repeal the SEC’s controversial accounting rules along with the Senate. However, President Joe Biden chose to veto the resolution.
Perfumo said:
“Even though you’ve hit barriers at the executive level, [there’s] still good progress going forward.”
He added that the Republican party appears “more pro-crypto [and] more progressive” on the matter, noting Donald Trump’s plans to attend the Bitcoin Conference in Nashville.
Trump has also made numerous statements in favor of pro-crypto policy, including at recent campaign events in Wisconsin and San Francisco.
