Ethereum
Ethereum Outlook Bullish After ETF Approval Despite Withdrawal
Days after hitting a monthly high of $3,943, Ethereum price (ETH) started to correct itself.
The initial surge follows the U.S. Securities and Exchange Commission’s (SEC) approval of applications from NASDAQ and NYSE to list Ethereum exchange-traded funds.
Although ETF issuers still need final approval before their products can be launched, the SEC’s May 23 decision marked an important and unexpected victory for the companies that had filed applications and for the entire crypto industry.
Until Monday, many expected regulators to reject the applications. Nine issuers, including VanEck, ARK Investments/21Shares and BlackRock, hope to launch Ethereum-linked ETFs, following the SEC’s January approval of Bitcoin ETFwhich was another landmark moment for the sector.
However, after the initial jump following the ETF’s approval, the price of the second-largest cryptocurrency by market capitalization has since fallen more than 4% from that level and is now trading at $3,760.
Nonetheless, the new price reflects a very modest 0.9% increase over the past 24 hours and a more significant 20.7% increase over seven days. Likewise, the current price represents a 28.5% improvement from where ETH was trading a fortnight ago and a 19% jump over 30 days, according to data from CoinGecko.
Ethereum 24-hour price chart | Source: CoinGecko
Over the past 24 hours, Ethereum price has consolidated, hovering between $3,776 and $3,710. Such price behavior generally indicates a build-up of momentum that could lead to a breakout, either above or below the current consolidation range.
At present, the next direction of ETH remains uncertain.
However, analysts at trading firm QCP Capital suggest that the SEC’s approval of Ethereum spot ETFs could drive ETH prices to $5,000 by the end of the year.