CDS Crypto News Crypto News Today- Speculation on Spot ETF Approval Spurs $327 Million ETH Influx to Crypto Exchanges
Crypto News

Crypto News Today- Speculation on Spot ETF Approval Spurs $327 Million ETH Influx to Crypto Exchanges

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Crypto News Today- Speculation on Spot ETF Approval Spurs $327 Million ETH Influx to Crypto Exchanges

Rumors of Spot ETF Approval Prompt $327 Million ETH Inflow to Crypto Exchanges

Crypto News– A series of sudden and positive developments surrounding the spot ether exchange-traded fund (ETF) has propelled the price of ether to surge by as much as 30% over the last two days. Currently, the second largest digital asset is trading at $3,798, with a daily trading volume reaching $33 billion.

The momentum began on Monday when the U.S. Securities and Exchange Commission (SEC) instructed spot ether ETF applicants to revise their 19b-4 filings ahead of their decision on VanEck’s application, scheduled for May 23. This directive led Bloomberg ETF analysts Eric Balchunas and James Seyffart to revise their approval odds estimate to 75%, up from the previously forecasted 25%.

This optimistic outlook persisted on Tuesday as filings from five prospective spot ether ETF applicants revealed amendments to their 19b-4 forms. VanEck, Fidelity, Invesco/Galaxy, Ark/21Shares, and Franklin Templeton all made updates to their filings, further fueling market anticipation and driving ether’s price surge.

$327 Million Worth of ETH Transferred to Crypto Exchanges Amid Speculation of Spot ETF Approval

A significant development occurred with Fidelity, Franklin Templeton, and Ark/21Shares removing provisions for ETH staking. Bloomberg’s Seyffart highlighted that while the spot ether ETF may still have a ways to go before launch, the filings validate speculation on improved approval odds.

According to a Barrons report, SEC staff signaled a favorable stance, stating they are leaning towards approving spot ETH ETFs. If application comments are resolved in time, approvals could potentially happen as early as this week.

The optimism surrounding a spot ether ETF has also led to substantial ETH inflows onto crypto exchanges. Data from Nansen, shared by Anagaram partner David Alexander, indicates that 87,800 ETH, valued at $327 million, has been sent to exchanges since speculation about imminent approval for ether-based funds began.

Crypto News Today- Speculation on Spot ETF Approval Spurs $327 Million ETH Influx to Crypto Exchanges
Crypto News Today- Speculation on Spot ETF Approval Spurs $327 Million ETH Influx to Crypto Exchanges 1

ETH has garnered significant attention among derivatives traders, as data from CryptoQuant reveals that open interest for ether reached an all-time high of $10.5 billion on May 21.

However, the most notable winners in the speculation surrounding the approval of an ether ETF by the end of May were participants in Polymarket’s prediction market. Data indicates that the ‘yes’ trade experienced a remarkable surge of 550%, skyrocketing from 10 cents to 65 cents.

FAQs

What is the significance of the speculation on spot ETF approval for Ethereum (ETH)?

Speculation on the approval of a spot ETF for Ethereum (ETH) has significant implications for the cryptocurrency market. If approved, a spot ETF would provide investors with a more accessible and regulated way to invest in Ethereum, potentially leading to increased adoption and price appreciation.

How much Ethereum (ETH) was sent to crypto exchanges due to this speculation?

Approximately $327 million worth of Ethereum (ETH) was sent to crypto exchanges as a result of speculation surrounding the approval of a spot ETF. This influx of ETH indicates heightened investor interest and anticipation regarding potential developments in the market.

What factors contributed to the surge in Ethereum (ETH) being sent to crypto exchanges?

The surge in Ethereum (ETH) being sent to crypto exchanges can be attributed to the anticipation of a spot ETF approval. Investors may be positioning themselves to take advantage of potential price movements following any announcement regarding the ETF’s approval or rejection.

For the latest in crypto updates, keep tabs on Crypto Data Space.

Crypto News Today- Speculation on Spot ETF Approval Spurs $327 Million ETH Influx to Crypto Exchanges

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