ETH prices soared to a high of $3,700 in early Asian trading on Tuesday, May 21, marking the highest point since early April. This 20% surge is driven by renewed optimism that the US Securities and Exchange Commission (SEC) will approve the first spot ETH ETF from VanEck on May 23. This significant move has also boosted the entire crypto market, with the total market cap increasing 8.6% to $2.74 trillion.

Bitcoin pioneer Anthony Pompliano expressed his optimism, stating that the approval of the Ethereum ETF would signify the approval of the entire industry. Bloomberg ETF analysts James Seyffart and Eric Balchunas have also increased their approval odds from 25% to 75%.

In a related development, Prometheum, a crypto asset trading and custody firm, has launched a controversial Ethereum custody service. This move is seen by some as a preparation for a potential SEC denial of ETH ETFs on the grounds that it also considers the asset a security. However, the recent positive sentiment suggests that the opposite may occur this week.