Crypto Market Attention Shifts from Bitcoin to Ethereum
There was excitement over the news of the approval of the inaugural Ethereum Spot ETF by the SEC, which sent shockwaves through the crypto market.
In the fast-paced world of cryptocurrency trading, May has proven to be a month of extreme highs and lows.
First, there was excitement over the news of the SEC's approval of the inaugural Ethereum Spot ETF, which sent shockwaves through the crypto market.
However, quickly, prices fell. Bringing back the world's largest cryptocurrency by market capitalization bitcoin to USD 67,850. This shift in sentiment has traders feeling both anxious and excited.
May started off with a sense of unease among crypto traders, as prices plummeted amid concerns stemming from Bitcoin's halving on April 19, 2024.
However, the narrative quickly changed following reports of the SEC's decision to greenlight Ethereum ETFs. This news sparked widespread excitement, causing huge price spikes across the crypto world, most notably Ethereum's surprising jump of 20% in a single day, marking one of the most incredible performances in nine years.
However, with the approval of the Ethereum ETF, the market experienced another downturn. This general “Buy the Rumour, Sell the News” pattern reflects previous events such as the Ethereum merger and the approval of a Bitcoin ETF.
According to Coinpedia, Sunday (26/5/2024), market enthusiasm often precedes an important event, followed by a decline after the event, thus prompting traders to reassess their expectations.
Looking ahead, traders or traders are still divided with some expressing optimism while others approach the market with caution. Social media platforms witnessed a surge in Buy calls, indicating high optimism among traders, especially during the minor retracement.
