World Liberty Financial (WLF) project lead Eric Trump believes that the Ethereum price should be at $8000, with the current Global M2 expansion. Trump has been a strong supporter of ETH in the past and maintains a bullish outlook for the long term. The ETH price, which surged more than 150% since the April lows, is facing some pullback and finding support at $3,600 as of now.
Ethereum and Global M2 Expansion
As per the Ethereum price chart, the altcoin has been following the trajectory of global liquidity aka Global M2 money supply, in recent months. Popular crypto analyst TedPillows noted: “Comparing with M2 supply growth, ETH should be trading above $8,000 by now. This shows how undervalued ETH is right now”. WLF chief Eric Trump responded to this, saying “Agreed”.
Following its rally to $3,900 earlier this week, ETH price is facing some pullback amid the massive 640k ETH unstaking event. However, the altcoin is finding crucial support at $3,600 as of now.
On the other hand, the underlying demand for Ethereum continues to remain strong. This is clear from institutional inflows, ETH Treasury development, Ethereum ETF inflows, etc. Wall Street veteran and Galaxy Digital CEO Mike Novogratz stated that ETH will outperform BTC for the rest of the year.
US M2 Money Supply Shoots In June
The expanding US M2 money supply has been a boon for the crypto market, historically offering enough liquidity to drive prices higher. The U.S. M2 money supply rose by 4.5% year-over-year in June, reaching a record high of $22.02 trillion. This marks the 20th straight month of growth and represents the fastest annual increase since July 2022, as per the Federal Reserve data.
If Ethereum and the broader crypto market follow this money trail, experts like Arthur Hayes believe ETH will hit $10,000 by year-end. Inflows into spot Ether ETFs continue strong with another $214 million flowing in on July 24, marking 15 consecutive days of inflows.
Fidelity Ether ETF (FETH) led most of the inflows at $203 million on Thursday. On the other hand, BlackRock Ethereum ETF hit the $10 billion inflows milestone within a year of launch. This makes it the third-fastest ETF to hit these numbers, after IBIT, and FBTC.
Bhushan Akolkar
Bhushan is a seasoned crypto writer with over eight years of experience spanning more than 10,000 contributions across multiple platforms like CoinGape, CoinSpeaker, Bitcoinist, Crypto News Flash, and others. Being a Fintech enthusiast, he loves reporting across Crypto, Blockchain, DeFi, Global Macros with a keen understanding in financial markets.
He is committed to continuous learning and stays motivated by sharing the knowledge he acquires. In his free time, Bhushan enjoys reading thriller fiction novels and occasionally explores his culinary skills.
Bhushan has a bachelors degree in electronics engineering, however, his interest in finance and economics drives him to crypto and blockchain.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
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