Institutional Investors Preferring Ether Over Bitcoin Now: JPMorgan

The spread between futures prices and spot prices for the two cryptos is telling, analysts wrote.

AccessTimeIconSep 23, 2021 at 6:25 p.m. UTC
Updated May 11, 2023 at 4:13 p.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global event for everything crypto, blockchain and Web3.Register Now

Institutional investors are showing more confidence in ether than bitcoin, according to an analysis of Chicago Mercantile Exchange (CME) futures buying activity by JPMorgan.

  • The analysis showed that the rolling average of the difference between bitcoin futures prices and spot prices had weakened and shifted from positive to negative in September.
  • By contrast, the difference between ether futures prices and spot prices remained positive and actually increased in September.
  • ”This points to a much healthier demand for [ether] vs. bitcoin by institutional investors,” JPMorgan wrote.
  • Bitcoin prices have fallen almost 10% over the last month, while ether prices have dropped about 5% over the same time period.
  • Crypto Update | Is Coinbase's Influence in the Bitcoin ETF Market Cause for Concern?
    12:23
    Crypto Update | Is Coinbase's Influence in the Bitcoin ETF Market Cause for Concern?
  • Bitcoin’s Price Is Way Up. And $48 Trillion in Wealth Just Got Access
    45:11
    Bitcoin’s Price Is Way Up. And $48 Trillion in Wealth Just Got Access
  • Ether in the Spotlight; Trump NFTs on Bitcoin
    02:08
    Ether in the Spotlight; Trump NFTs on Bitcoin
  • Ether Surges Above $26K Following Spot Bitcoin ETF Approval
    01:36
    Ether Surges Above $26K Following Spot Bitcoin ETF Approval
  • Read the full report:

    Disclosure

    Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

    CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.

    Nelson Wang

    Nelson Wang was CoinDesk's news editor for the East Coast. He holds BTC and ETH above CoinDesk's disclosure threshold of $1,000.


    Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.