For investors seeking momentum, First Trust NASDAQ Cybersecurity ETF (CIBR Quick QuoteCIBR - Free Report) is probably on the radar. The fund just hit a 52-week high and is up 50.71% from its 52-week low price of $50.52/share.

But are more gains in store for this ETF? Let’s take a quick look at the fund and the near-term outlook on it to get a better idea of where it might be headed:

CIBR in Focus

The underlying Nasdaq CTA Cybersecurity Index tracks the performance of companies engaged in the cybersecurity segment of the technology and industrials sectors. The product charges 59 bps in annual fees (See: All Technology ETFs).

Why the Move?

Given the recent surge in the adoption of AI technology, the need for cybersecurity becomes increasingly evident. An inevitable increase in cybersecurity spending is expected, driven by rising cyberattacks and the drastic financial fallout from them. The global cybersecurity market is estimated to witness a CAGR of 7.58%, reaching a valuation of $271.91 billion in 2029, according to Statista.

Additionally, cybersecurity is becoming a cornerstone of modern defense strategies, with investment in military-grade cybersecurity solutions becoming strategically imperative.

More Gains Ahead?

CIBR might continue its strong performance in the near term, with a positive weighted alpha of 35.57 (as per Barchart.com), which gives cues of a further rally.