Ethereum Demand Rises: Long-term Investors Capitalize on Price Dip; ETF Approval Nears
Summary:
Ether (ETH) experienced a surge in accumulation, largely attributed to long-term investors who capitalized on a 2% price dip. Ethereum witnessed an impressive rise in demand, with near-record levels of purchasing by long-hold investors on June 13. The U.S. SEC Chairman hinted at giving the final nod to Ether spot exchange-traded funds (ETFs) for trading by the end of September. However, each investment and trading move carries inherent risks, urging readers to conduct their own thorough research before decision-making.
Ether (ETH) recently enjoyed a surge in accumulation from long-hold investors, taking advantage of a subtle 2% price dip within a day. Ethereum's demand experienced a significant upturn, with long-term investor buying reaching near-record levels on June 13, according to CryptoQuant's research chief, Julio Moreno. Accumulation wallets gathered approximately 298,000 Ether tokens within 24 hours on June 12, estimating a value of about $1.34 billion at the time these data were reported. This uptake fell short by only 6% of the highest amount, which occurred on September 11, 2023 when Ethereum's price dipped below $1,600 and long-hold investors bought up 317,000 Ether.
Ether's demand upsurge coincides with a notable 8.49% price depreciation over the past week. The price slipped below $3,800 on June 8 and struggled to recover. However, it managed to stay above the $3,400 mark throughout this phase, as per CoinMarketCap's statistics. As of this writing, Ether is priced at $3,472.
Historically, the $3,500 level has been a significant hurdle for ETH supporters to overcome, as pointed out in a June 11 Cointelegraph report. It also cautioned that Ether could potentially face further downward price pressure, referencing a previous slide below $3,500 on April 11, which resulted in a significant 25% price drop to $2,814 by May 2. Over the last week, Ether experienced an 8.49% decrease.
In related news, the chairman of the U.S. Securities and Exchange Commission (SEC) has suggested that Ether spot exchange-traded funds (ETFs) might receive final approval for trading by the end of September. On June 13, Cointelegraph reported that SEC Chair Gary Gensler hinted towards lawmakers at a Senate Banking Committee hearing that the regulator could give final sign-offs for listing and trading shares of spot Ether ETFs within the next three months.
Previous to this, on May 23, the SEC extended preliminary regulatory approval for spot Ether ETFs in the U.S by accepting 19b-4 submissions from eight proposers. Nonetheless, trading can only begin after the S-1 registration statements are also approved.
Please note that this article does not provide investment advice or recommendations. Investing and trading come with their own set of risks, therefore it's advisable for readers to perform their own research before making decisions.
Published At
6/14/2024 5:17:37 AM
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