May 21, 2024 Grandpa checks in

Ethereum suddenly surged in the morning, from around 3,000 points to 3,700 points, an increase of more than 20%. Although it is the second largest in the B circle, it has walked out of the momentum of a copycat. The reason for the surge is that there is the latest good news about Ethereum's spot ETF. According to people familiar with the matter, several funds that applied for the listing of spot Ethereum ETFs were suddenly required to update key documents related to these products. Because several funds were also required by the SEC to change the final file information before the Bitcoin spot ETF was approved, after this wave of operations, the probability of Ethereum's ETF passing has increased from 25% to 75%.

Furthermore, before the SEC approves the ETF, it must first approve the 19b-4s and S-1s documents. Currently, neither of these two documents has been approved. Judging from the action, the 19b-4s will be approved first, and the final step will be observed for a few months. In any case, it is only a matter of time before Ethereum passes the spot ETF, and if the S-1s document is later, it will give the market enough time to hype it up. In this way, Ethereum will have the opportunity to follow the same ETF trend as Bitcoin.

Regarding the strength of Ethereum, I have said it more than once. As the second largest coin that has not been shaken for so many years, the price only needs an opportunity to rise. Previously, only Bitcoin and Ethereum were approved for futures ETFs, and the spot market basically only has these two. If we want to be stable, we can buy Bitcoin, but if we also want to consider the increase, Ethereum is the best choice. When it fell to around 3,000 a few days ago, I increased my position myself, and also told everyone that the price-performance ratio is sufficient, so buy it boldly. After this wave of rise, it will be difficult for the price of Ethereum to go down in the short term, and it will probably fluctuate on this relay platform first.

As for the market, we have caught this wave of market. The rise of Ethereum has also directly led to a surge in several tokens related to the ecosystem, such as ENS, LDO and REZ, etc. Therefore, it is only a matter of time before the DeFi sector explodes. The basis for the rise of Ethereum comes from the on-chain activity brought by these ecosystems. After this wave of market rise, it is not recommended to reduce positions immediately, but you can consider some position changes, such as switching between coins in the sector, and continuing to hold coins that have not risen. The price of Bitcoin and Ethereum can all come back, and others will also have opportunities.

Thank you for your attention and likes.