ETH Surges 10% Amidst Spot ETF Rumors
ETH Price Movement:
- Current Price: $3,729.35 (-1.00%)
- Recent Surge: Ether (ETH) spiked by 10% on Monday, reaching $3,450 from $3,150 in just 25 minutes.
Key Catalyst:
- Rumors of Spot ETF Approval: Credible sources suggest that ETH might receive its own spot ETF in the United States soon. This speculation was fueled by a tweet from Bloomberg ETF analyst Eric Balchunas and his partner James Seyffart, who increased their approval odds from 25% to 75%.
Market Reaction:
- Tweet Impact: The significant price jump occurred shortly after Balchunas' tweet at 17:20 UTC, where he mentioned hearing chatter about the SEC potentially reversing its stance on crypto ETFs.
- Legislative Developments: Earlier in the month, the US House and Senate passed H.J.Res.109, a resolution to overturn an anti-crypto banking rule from the SEC. This bipartisan move, despite President Joe Biden's veto threat, indicates substantial political support for crypto assets.
Analyst Insights:
- Balchunas and Seyffart: Both analysts confirmed their accounts were not hacked and stated that their revised odds are based on multiple credible sources. They anticipate several ETF filings in the coming days.
- Eleanor Terret: The Fox Business reporter noted that a prospective ETF issuer indicated the approval process is "evolving in real time."
**Broader Market Impact:
- Bitcoin's Response: Bitcoin also experienced a boost, rising 5% to $69,850.
- Liquidations:According to Coinglass, the crypto market saw $226 million in liquidations over the past 24 hours.
Conclusion:
The potential approval of an ETH spot ETF has significantly impacted the market, highlighting the evolving regulatory landscape and growing acceptance of cryptocurrencies.