VanEck has set a new price target for Ether (ETH), the native token of the Ethereum protocol, predicting it will reach $22,000 by 2030.

The forecast represents a massive rise from its current price of around $3,850.

The global investment firm had earlier anticipated that Ether ETFs could surpass their Bitcoin counterparts in market size.

In its latest June 5 report, VanEck attributed this optimistic forecast to Ethereum’s disruptive capabilities and the cashflow it generates for token holders.

VanEck’s comprehensive analysis highlights Ethereum’s impact across multiple sectors, including finance, banking, payments, marketing, advertising, social media, gaming, infrastructure, and artificial intelligence. 

The firm believes that the approval of Ether ETFs, coupled with on-chain data analysis, supports their prediction.

“We anticipate that spot Ether ETFs are nearing approval to trade on U.S. stock exchanges,” the report stated.

“This development would enable financial advisors and institutional investors to hold this unique asset securely with qualified custodians, while benefiting from the pricing and liquidity advantages characteristic of ETFs.”

According to VanEck, the disruptive power driving Ether to $22,000 is Ethereum-based technology’s ability to deliver lower costs, more efficiency, and greater transparency.

The shift, per the firm, could potentially transfer significant market share from traditional financial and tech institutions, which have a combined total available market of $15 trillion, to blockchain-based solutions.

The report also forecasts that free cash flows from revenue derived by holding Ether will reach $66 billion by 2030, further supporting its projected valuation.

Ether has climbed by more than 63% year-to-date per data from CoinMarketCap

Ryan Sean Adams, co-founder of Bankless, noted that despite lower user numbers, the Ethereum blockchain generates three times more in fees than the top Layer 2 networks and Solana combined.

Adams went on to call it a “modern miracle” in a June 6 X post.

Layer 2 solutions pay Ethereum fees to settle transactions on the main chain and benefit from its security.

VanEck’s proposed spot Ether ETF, which already has the ticker symbol “ETHV” and is listed on the Depository Trust and Clearing Corporation (DTCC), is currently inactive and awaits regulatory approval.

Last month, Crypto asset trading firm QCP Capital predicted a potential 60% rally in Ethereum’s price, pushing it to around $6,000 if a spot ETF is approved.

QCP’s bullish outlook aligns with that of research firm Bernstein, which noted that the sustained demand inflow seen by Bitcoin ETFs post-approval would likely result in similar price action for Ethereum.

According to data from crypto.news’s price page, Bitcoin (BTC) surged 66% from around $44,300 to a peak of $73,700 within two months following ETF approval.