Cryptocurrencies rose on Tuesday on a late surge of optimism surrounding the U.S. Securities and Exchange Commission's decisions on spot Ether exchange-traded fund applications, the primary of which is due this week.
ether It led the rally, rising 8.5% to $3,661.12, in accordance with Coin Metrics, and shot up 20% on Monday.
In the meantime, Bitcoin gained 2% and traded at around $71,350, up 8% from yesterday. This rally has pushed the flagship cryptocurrency past 70,000% for the primary time in greater than a month.
Crypto-related stocks have been on the rise. Coinbase And Robin Hood They each rose about 2% in premarket trading, adding to Monday's gains of 8% and 9%, respectively. Microstrategyan indicator of the Bitcoin price, rose by 1%. Bitcoin miners also increased barely, with Riot Platforms And Irish (formerly generally known as Iris Energy) increases by 2% each and Marathon Digital And CleanSpark each 1% higher.
Investors are reconsidering the likelihood of the SEC greenlighting Ether ETF applications as reports suggest the SEC has requested key document updates from potential ETF issuers and exchanges. The previous consensus was that such funds were unlikely to be approved.
“ETH rose shortly after rumors began circulating that the SEC might approve ETH spot ETFs this week,” said Bartosz Lipiński, CEO of Cube Exchange.
“However, similar to the spot Bitcoin ETFs approved earlier this year, it feels to me like a 'buy the rumor, sell the news' type situation and I could see a rally into Thursday… and then at least a short sell-off regardless of whether the funds are approved or not,” he added.
An SEC spokesman said the agency doesn’t comment on individual filings.
Final decisions on the applications from VanEck and Ark Invest are expected this Thursday and Friday respectively.
BlackRock, Fidelity, Invesco, Grayscale and Bitwise Asset Management even have applications pending for decision this 12 months.
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