Analysts have named 3 factors that will affect the growth of tokens in 2024

According to a report by the crypto market analytical platform IntoTheBlock (ITB), 2024 is full of several events that will significantly affect market activity. Among the most important are the potential launch of a spot bitcoin ETF, the upcoming Ethereum Dencun update, and the launch of staking products from EigenLayer.

The launch of a spot bitcoin ETF
The approach of this event began to stimulate activity in the crypto market. At the time of writing, the price of BTC has risen to $ 45,910, and crypto traders have bet more than $ 3.25 million on the outcome of the US Securities and Exchange Commission’s (SEC) decision on these products.

More than a dozen applications from large asset management companies are expected to receive a response from the SEC today. A Bitwise survey showed that only 39% of financial advisors expect a spot bitcoin ETF to launch in 2024, while Bloomberg analysts emphasized that the chances of approval are 90%.

The upcoming Ethereum Dencun update
The planned event is set to take place at the end of the first or beginning of the second quarter of 2024. The update is expected to improve the efficiency of Ethereum’s Layer 2 (L2) convolution through proto-danksharding, which introduces temporary storage space to increase transaction throughput.

In addition, the Dencun update is expected to reduce transaction costs on L2 networks by a factor of 10 or more, which in turn will attract more economic activity to the ecosystem. In anticipation of this event, the main L2 protocols have experienced a significant price increase.

Launch of staking products from EigenLayer
This will provide developers with access to the Ethereum staking database and a set of decentralized validators. The ITB believes that staking on EigenLayer will provide higher profitability than the existing level of staking. The protocol has already attracted more than $ 1 billion in deposits, with 70% of them coming through liquid staking.

Crypto industry analysts from Matrixport noted that if the U.S. Securities and Exchange Commission (SEC) approves spot bitcoin ETFs in early January, the cost of a BTC will increase to $ 50,000 by the end of the month. Experts have drawn parallels with the launch of bitcoin futures by CME Group in 2017. Back then, the exchange announced derivatives in late October, and trading began in early December. During this period, the market leader’s quotes jumped by 196%.