The crypto market’s rebound came unexpectedly.
Bloomberg ETF analysts wrote that the probability of the SEC approving the spot Ethereum ETF 19b-4 has increased from 25% to 75%, based on the fact that crypto investment tools are becoming an "increasingly political issue." Several sources revealed that the SEC is asking exchanges to speed up the update of the 19b-4 application for the spot Ethereum ETF, which has swept the community's pessimism and brought new hope for the product's eventual approval.
According to Bitcoin Market data, after the news was released, the price of Ethereum jumped from US$3,143 to an intraday high of US$3,650, hitting a new high since mid-April, with a 24-hour increase of more than 18%.
Bitcoin rebounded above $70,000 for the first time since mid-April.
Previously, the market generally believed that the Ethereum ETF would not be approved.
But yesterday, the SEC asked the exchange to speed up the update of the 19B-4 document regarding the spot Ethereum ETF.
This means that the SEC has a chance to approve the Ethereum ETF, and the probability of approval increases from 25% to 75%. If approved, it will not be difficult for ETH to break through 5,000.
So now a lot of funds are building positions in ETH. I have to say that Sun Ge has a sharp vision. Sanqian has been buying Ether crazily and now he has made tens of millions of dollars. How can it be so easy for him to make money?
There are two points for Ethereum ETF approval
One is 19B-4 approval and the other is S-1 approval.
19B-4 looks like it will be approved, probably this month. S-1 approval can take weeks to months.
But no matter what, it is right to have this expectation! It doesn’t matter when it is approved, the important thing is to approve it.
The Federal Reserve said yesterday that it did not see any reason to raise interest rates, so this is also a positive. Spot ETF funds continued to flow in, buying a total of 3,077 BTC.
Current response strategies
A few days ago, I told you that the trend will reverse and hit 70,000
Hold on to your valuable coins patiently. If your positions are too full, you can take profit at 20% of your positions first.
There was a big surge in the morning, so you can consider reducing your short-term spot positions to lock in profits. If you have opened too many contracts, you must exit.
Although the probability of passing is very high now, it is not ruled out that it will be pushed again. The approval of Bitcoin ETF has also experienced twists and turns. If it fails, Ethereum will fall, and the copycat may return to the starting point or even lower, so short-term investors should run.
Only the first half of the "partial bull market" of BTC/MEME is about to transform
Compared with the Bitcoin spot ETF passed by the United States at the beginning of this year, if the United States passes the Ethereum spot ETF, it may have a more far-reaching significance for the crypto industry. The reasons are as follows:
1. Recognition of technological innovation:
Bitcoin is defined as the "digital gold" of cryptocurrencies, while Ethereum is not only a cryptocurrency, it is also a platform that supports smart contracts and decentralized applications. The Ethereum ETF marks a milestone in the traditional financial world's recognition of the entire blockchain technology and its innovative potential.
2. Wider application scenarios:
Compared to Bitcoin, Ethereum has a wider range of application scenarios, including DeFi, NFT, games and many other fields. Therefore, the approval of the Ethereum ETF may attract investors interested in these emerging fields, including various Altcoins.
3. Market Diversity:
The introduction of an Ethereum ETF could increase the diversity of the market, providing investors with a wider range of options that are not limited to traditional cryptocurrency investments, but also include various applications based on blockchain technology.
It may even have a chain reaction, driving expectations for the approval of other cryptocurrency ETFs such as SOL, BCH, and LTC, and accelerating the injection of off-market funds into the crypto market.
4. Acceleration of network effects:
The Ethereum ETF may accelerate the development of the Ethereum network effect, that is, as the number of users and developers increases, the value of the Ethereum platform will also increase. This is something that Bitcoin does not have. Assets with network effects can often achieve economies of scale and have greater value imagination.
5. Promotion of investor education:
The approval of the Ethereum ETF may promote investors to conduct deeper research on blockchain technology and decentralized applications, such as smart contracts, scalability, composability, etc., which is much more complicated than simply understanding BTC.
The U.S. SEC is about to announce the results of the Ethereum spot ETF this Wednesday. Regardless of the result, it will be a milestone event worthy of attention.
Later, I will bring you analysis of leading projects in other tracks. If you are interested, you can click to follow. I will also organize some cutting-edge consulting and project reviews from time to time. Welcome all like-minded people in the cryptocurrency circle to explore together. If you have any questions, you can comment and ask questions
