ETH outperforms Bitcoin in futures yields, with optimism growing over potential regulatory changes and ETF inflows.

Ether Outperforms Bitcoin in Open Interest

Ether (ETH) is gaining momentum and could breach $4,000 before President-elect Donald Trump’s inauguration on 20 January, analysts suggest. With a current price of $3,567, Ether has outpaced Bitcoin (BTC) in futures open interest, amassing over $8.9 billion compared to Bitcoin’s $6.7 billion, according to a report by Block Scholes and Bybit Analytics.

This increase is not attributed to mass liquidations but rather “considered repositioning,” indicating a more strategic market adjustment. A Bybit spokesperson told, “Bybit analysts see $4,000 on the horizon for ETH before Jan. 20.”

Investor Optimism Drives ETH Momentum

Investor sentiment around Ether has surged since 21 November, when Gary Gensler, Chair of the United States Securities and Exchange Commission (SEC), announced his resignation effective 20 January. This development, coupled with the anticipation of positive regulatory changes, has boosted confidence in Ether’s long-term potential.

Futures Yield Signals Institutional Inflows

One key indicator of Ether’s rising demand is its performance in futures yields. The Bybit report highlights a “strongly inverted implied-yield curve,” with short-term futures trading nearly 25% above spot prices. Such trends often signal institutional buying and may explain the growing interest in US spot Ether exchange-traded funds (ETFs).

Since 27 November, Ether ETFs have recorded a four-day winning streak, accumulating over $90 million worth of ETH, according to Farside Investors. Demand for leveraged Ether ETFs has risen by 160% since Trump’s electoral victory, further supporting the bullish case.

Social Media Buzz Reflects Growing Interest

The growing enthusiasm for Ether is also reflected in social media activity. CryptoQuant data shows a 282% rise in Ether-related posts on X (formerly Twitter) in just three days, reaching 1.1 million mentions by 28 November.

With favourable market conditions, rising institutional inflows, and increasing investor optimism, analysts remain confident Ether could surpass the $4,000 mark in the coming weeks.