Ethereum
Rebounds to $70,000 on Ether ETF Spot Speculation By Investing.com
Investing.com–The price of Bitcoin rose sharply on Tuesday, tracking Ether’s rise after a media report signaled progress toward approving Ether spot exchange-traded funds for U.S. markets.
The price rose 5.8% over the past 24 hours to $70,987.1 as of 1:08 a.m. ET (05:08 GMT).
But the world’s No. 2 token was the star on Tuesday, jumping 17% to a one-and-a-half-month high of $3,656.01.
Ether Rises as Report Says SEC Asks ETF Applicants to Update Key Documents
A report from Coindesk showed that the US Securities and Exchange Commission has asked spot Ether ETF applicants to update some key documents, ahead of an important deadline for approving the funds later this Thursday.
Although the report states that there is still no guarantee that the regulator will approve ETFs, it nevertheless marks some progress towards possible approval.
Bloomberg analysts Eric Balchunas and James Seyffart updated their expectations for approval of an Ether spot ETF to a 75% probability from 25%, citing the Coindesk report and saying the SEC could “do a 180” on potential approval.
The SEC was seen as largely opposed to a spot Ether ETF, especially as recent reports indicated that the regulator was also pursuing action against the Foundation due to the potential nature of Ether as a security.
But the approval of a spot ETF could spark a similar rally for Ether as it did for Bitcoin earlier in 2024, where the token hit a record high on rising capital inflows as institutional investors rushed into ETFs.
Crypto Price Today: Bitcoin Capital Flows Improve Amid Rate Speculation
Data from digital asset manager CoinShares showed on Monday that crypto investment products saw a second straight week of capital inflows, as some weak US inflation figures increased bets that the Federal Reserve would cut interest rates this year.
Total capital inflows stood at $932 million in the week to May 20, with Bitcoin continuing to dominate capital flows. Nonetheless, overall trading volumes remained well below the highs seen following spot-Bitcoin ETF approvals in February and March.
Altcoins have drifted higher, following Ether’s gains. rose 3.6%, while it added 3.7%.
Meme tokens added 6.6% and 4.7%, respectively.