Cryptocurrency markets experienced a surge on Tuesday amid rumours that the U.S. Securities and Exchange Commission (SEC) is close to approving Ethereum spot Exchange-Traded Funds (ETFs). The SEC’s call for updated documentation from potential ETF issuers and exchanges fuels hope for a positive outcome.
Ethereum Prices Soar Amid Approval Rumours
Following a striking 20% leap on Monday, Ethereum’s (ETH) price rose a further 9% on Tuesday, reaching $3680.98 according to Coin Metrics data. Bartosz Lipiński, CEO of Cube Exchange, stated, “ETH surged shortly after rumours spread that the SEC might approve spot ETH ETFs this week.”
Decisions on ETF Applications Forthcoming
Final decisions regarding the VanEck and Ark Invest applications to create Ethereum spot ETFs are expected to be announced this Thursday and Friday respectively. Rulings on applications from BlackRock, Fidelity, Invesco, Grayscale, and Bitwise Asset Management are predicted to follow later this year.
Bitcoin and Shares in Cryptocurrency Companies Also Rise
Due to the rally in the cryptocurrency market, Bitcoin also experienced a price increase of 2% on Tuesday, reaching $71,350. This followed an 8% increase the previous day which pushed Bitcoin’s price back over $70,000. The positive momentum also bolstered the positions of several Bitcoin mining companies on the exchange, including Marathon Digital, whose shares grew by 3%. Shares of cryptocurrency-related companies also benefited, notably Coinbase and Microstrategy, which both rose by 2% during extended trading, and Robinhood, which saw a 3% increase.
This post was last modified on 05/21/2024