The negative premium of Grayscale's Ethereum Trust (ETHE) has narrowed to 8%, reflecting increased market optimism, possibly tied to anticipated spot ETH ETF developments. This reduction suggests growing demand for ETHE shares, historically trading at a discount due to their non-redeemable nature. As trust shares unlock, investors may sell redeemed ETH on the spot market, potentially exerting downward pressure on Ether prices. A simulation of this impact depends on unlock volume and market absorption capacity. If significant (e.g., 2.9M ETH, ~$10B), outflows could mirror Grayscale’s Bitcoin Trust post-ETF conversion, causing short-term volatility. However, strong buying interest and limited spot supply might mitigate the effect. Current data (April 3, 2025) indicates a stabilizing trend, but precise outcomes remain speculative without real-time unlock specifics.