Ethereum ( $ETH ) has surged 24.5% in the past 24 hours, reaching $3,790, its highest level in the past 2 months. This price increase is mainly due to expectations about the approval of the Ethereum ETF in the US and traders' hopes for further price increases after approval.
A bipartisan group of US lawmakers has called on SEC Chairman Gary Gensler to approve Ethereum Spot ETFs. They want the SEC to apply the same principles in approving Bitcoin ETFs.
This support comes in conjunction with the passage of the FIT21 cryptocurrency bill in the US House of Representatives on May 22, which received support from 208 Republicans and 71 Democrats, with 136 votes. protest. Meanwhile, cryptocurrency exchanges and issuers have updated their 19b-4 forms, preparing for the SEC's decision.
Optimistic sentiment of traders
Traders are optimistic about the potential launch of an Ethereum ETF. On May 23, the altcoin price approached $4,000. Analysts have seen an increase in Ethereum's dominance in the market, indicating growing enthusiasm for ETF approval.
From a technical perspective, the RSI at 71 indicates strong bullish momentum for ETH price. Important levels to watch include the psychological barrier at $4,000 and the March 11 high of $4,091. However, with the RSI showing overbought conditions, it is possible that the ETF approval could trigger a “sell the news” reaction as traders may look to take profits.