Talks About Spot ETH ETF Fueling Ether Price; Bitcoin Slips

Ethereum, the second most talked about cryptocurrency in the market, grew over 3.50% on December 10 (till the time of writing), as per CoinMarketCap. It is believed that the same ETF factor profoundly influences the ETH price. 

In the past 24 hours, ETH once again crossed the milestone of $2,400, and its highest traded price was $2,410.96. However, its trading volume grew 67.96%.

Now, the dates of the decision over spot Bitcoin ETF are nearing. The crypto industry is divided into three portions: first, the moguls try to stir the market by making statements over ETF approvals, and others say that the SEC will reject the application for exchange-traded funds. The third category comprises traders focusing on their profits from the market during these two rumors.

The surge of Ethereum is likely due to a series of fake tweets from the hacked X account of the Securities and Exchange Commission U.S. The posts from the accounts have stirred the market, and immense volatility was noticed in Bitcoin prices. The account has been recovered since.

However, it must be noted that the leading financial giant BlackRock has already filed an S-1 form with the U.S Securities and Exchange Commission (SEC) for its IShares Ethereum Trust, a spot ether exchange-traded fund. 

The investors have positioned themselves, expecting that the second number of spot ETFs will be Ethereum if the Bitcoin ETF gets approval. When writing the oldest and most talked about cryptocurrency, Bitcoin traded at $44,921 with an intraday decline of 3.80%.

ETF applications and several linked rumors have affected all the categories focused on crypto products. Earlier this year, significant reports claimed that funding has surged in 2023, and crypto hacking reflected a sharp decline compared to 2022.

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Lookonchain revealed that a significant crypto whale had spent approximately $11 Million to purchase 4,677 Ethereum. It further highlights that the investors are bearish on Bitcoin; however, at the same time, they are enjoying a bullish momentum from ETH. 

Most importantly, the data also highlights that the giant holder has exchanged his Wrapped Bitcoin (wBTC) for ether, borrowing 241 WBTC worth $11 Million from Aave and exchanging them for 4,677 ETH. 

The price might continue to be bullish, but the previous results do not guarantee future growth. 

In a report published on January 08, 2023, the regulatory institution regulating futures, swaps, and options in the U.S., the Commodity Futures Trading Commission (CFTC), advised that policymakers should figure out a way to identify the individuals involved in DeFi ( Decentralized Finance).

Disclaimer

The views and opinions stated by the author or any people named in this article are for informational ideas only and do not establish financial, investment, or other advice. Investing in or trading crypto or stock comes with a risk of financial loss.

Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.