Ethereum Experiences Dramatic Surge Amid Speculation of Spot Ether ETF Approval
Summary:
In anticipation of possible approval of spot Ether exchange-traded funds this week, Ether (ETH) saw an 18% increase within a day. The surge came after US securities regulators reportedly urged applicants to speed up their 19b-4 filings. With the upcoming final decision on VanEck's spot Ether ETF application on May 23rd, other cryptocurrencies also experienced growth, pushing the total cryptocurrency market cap past $2.7 trillion for the first time since April 11.
Against a backdrop of prolonged skepticism, Ether (ETH) experienced a dramatic 18% surge within a day, driven by renewed expectations of the potential approval of spot Ether exchange-traded funds this week. Bloomberg ETF experts Eric Balchunas and James Seyffart note the buzz about US securities regulator encouraging those applying for them to speed up their 19b-4 filings. As a result, the experts bolstered their prognosis for approval from a mere 25% to an optimistic 75%. Polymarket, a decentralized gambling platform, exhibited a similar rise in approval odds, spiking from 11% to an impressive 54%. CoinGecko reports that ether now stands at the value of $3,625, which is a increase of 16.1% since the news emerged roughly three hours ago and has a 24-hour growth of 18%.
This information comes just a few days before the ultimate verdict of the U.S. Securities and Exchange Commission on VanEck's spot Ether ETF application, slated for May 23rd. Seyffart, however, clarifies that even if 19b-4s are given the green light this week, the approval must be accompanied by signed-off S-1 registration statements for the spot Ether ETFs to take off. He further adds that the signing off on S-1s could take weeks or months. He emphasized, “If we’re right and approvals occur this week, the question of S-1 approvals will turn from 'if' into 'when'.”
Nate Geraci, president of The ETF Store, first proposed on May 19 that the SEC might approve the 19b-4 and S-1 filings in a two-step process. Amid the news, other cryptocurrencies also rose in the last 24 hours, including Bitcoin (BTC), Solana (SOL), and Dogecoin (DOGE) which saw increases of 5.1%, 8.9%, and 9.2% respectively. Ethereum-associated Uniswap (UNI), Lido DAO (LDO), and Lido Staked Ether (STETH) are the only three out of the top 100 coins in market cap that have outperformed Ether in the last day. The total cryptocurrency market has climbed up 7.8% in the past 24 hours, crossing a $2.7 trillion market cap for the first time since April 11.
Published At
5/21/2024 2:18:11 AM
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