Ethereum
Ethereum ETFs Get Final Approval to Trade in the US
The US SEC has given the final green light to the first ETH spot ETFs in the United States. Trading is expected to begin tomorrow, July 23.
Today, July 22, the United States Securities and Exchange Commission accepted multiple Ethereum spot securities deposits (ETH) exchange-traded funds, allowing them to trade starting Tuesday, as planned.
The SEC has approved ETH ETF products from a total of eight issuers, including asset management giants Fidelity, Blackrock and VanEck, as well as 21Shares, Bitwise and others.
SEC First approved The listing applications for the above-mentioned ETH ETFs were filed in late May, but the companies were still waiting for their S-1 filings (the registration of new securities) to be approved before trading could officially begin. Last week, the SEC informed Issuers should finalize their S-1 documents by July 17 in order to receive approval for transactions to begin on July 23.
How will the price of ETH react?
A report by Kaiko Research published suggested today that the outlook for ETH price after the launch of spot ETFs is unclear. The company noted that when ETH ETFs based on futures contracts spear Last year, demand was “disappointing.”
The price of ETH has dropped by around 2.5% over the past 24 hours, currently trading near $3,400. Earlier today, analysts at IntoTheBlock note that Ethereum price is facing critical resistance around $3,500.
ETH 30-minute price chart, July 15-22, 2024 | Source: crypto.news
In general, as with Bitcoin spot (Bitcoin) ETFs, analysts, and the industry as a whole see the launch of a spot ETF product as a positive sign for broader adoption. Since ETFs are traded on traditional exchanges through brokerage accounts, more traditional investors now have access to the two largest cryptocurrencies by market cap through a vehicle they are already comfortable trading.
First Bitcoin, now Ethereum
Spot Bitcoin ETFs were approved for trade in the United States in January and have since seen record entriesSince the launch of BTC spot ETF trading, the price of Bitcoin has increased by nearly 50%, currently trading at nearly $67,700.
BTC Price Chart 4 Hours, January 8 – July 22, 2024 | Source: crypto.news