Summary
JPMorgan reports that the discount to net asset value (NAV) for the Grayscale Ethereum Trust (ETHE) has been shrinking since the summer, indicating increasing market optimism for the approval of an ether-based ETF in the US. The discount has remained at around 12% for the past two months.
Key Points
1. Traders have been considering ether as a potential candidate for a spot ETF approval in the U.S., following the BTC ETF narrative that gained attention last year.
2. The Grayscale Ethereum Trust (ETHE) has experienced a contraction in its discount to net asset value (NAV) since the summer. This contraction has continued for the past two months, hovering around 12%.
3. JPMorgan’s analysis indicates that the discount to NAV for the Grayscale Ethereum Trust reflects the market sentiment towards the potential approval of an ether ETF.