Cryptocurrencies boom on the night of May 21-22. Bitcoin is approaching the $70,000 mark. Ethereum gained 17.83% during the session to reach $3,624. Solana was up 9.57% on the day, rising to $185. Overall, the digital asset has increased by 7.57% in the last 24 hours.
This performance is attributed to the recent news about the Ethereum spot ETF. Many analysts, most notably Bloomberg, believe that the SEC may reconsider its stance on rejecting Ether ETFs. Bloomberg analysts James Seyffart and Eric Balchunas estimate the chance of acceptance at 25% to 75%.
Update: @JSeyff and I’m upping our odds of spot Ether ETF approval to 75% (up from 25%) when I hear chatter this afternoon that the SEC might do a 180 on this (still a political issue), so now everyone is wrong (like the rest of us assumed they would be rejected). See… https://t.co/gcxgYHz3om
— Eric Balchunas (@EricBalchunas) May 20, 2024
Market confidence in Ethereum ETF approval has strengthened recently. Indeed, the SEC has urged exchanges to quickly update their 19b-4 filings, suggesting a possible speeding up of the process.
In addition, one company in discussions with the SEC told Coindesk that it now feels on track for early approval, contrary to fears of a slowdown expressed a few weeks ago.
To go further: ETH predictions for 2024/2025/2030
The SEC is scheduled to rule on VanEck’s Ethereum Spot ETF on May 23. The decision comes after the commission deferred consideration of VanEck’s application to the maximum allowed by the regulations, making the application the first in a series of spot Ether ETFs to be evaluated.
In April, Jan van Eck, CEO of VanEck, still expressed doubts about the approval in May.
However, the situation has been developing positively, so approval is increasingly likely.
Moral of the story: When the SEC hesitates, cryptocurrencies are excited.
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