Analysis Links ETH Price Movement To BlackRock ETF Application

Analysis Links ETH Price Movement To BlackRock ETF Application

The price of Ethereum (ETH) has mostly stayed the same in response to BlackRock’s recent filing of an exchange-traded fund (ETF) with the U.S. Securities and Exchange Commission (SEC). Previous approval of cryptocurrency exchange-traded funds (ETFs) based on futures contracts by the SEC was met with cautious cheers from the cryptocurrency community.

Amid this development, the regulatory authority has continuously voiced worries about possible manipulation and fraud in the spot cryptocurrency market. Earlier this year, BlackRock filed a request for approval of an Exchange Traded Fund (ETF) linked to Ethereum futures that complies with the SEC’s rules regarding financial products about cryptocurrencies.

In assessing the short-term direction of the market, the next few days will be crucial as Ethereum’s price gets closer to important support levels. Profit-taking worries about regulatory changes and the general volatility of the cryptocurrency field are blamed for this market drop.

ETH Enters Bear Run, As Outsiders Influence Price Fluctuations

Recent market activities have shown that larger market variables have had a greater influence on ETH’s price. Ethereum has entered a bear market, as seen by a sharp decline in price from its November 10th peak of $2,126.99 to a level below $2,000.

The story of institutional interest in cryptocurrencies has not affected the cryptocurrency market since the launch of a BlackRock ETF, which has yet to cause Ethereum’s price to move significantly. The BlackRock ETF registration had a minimal impact on the price of ETH, indicating that more than regulatory changes might be needed to cause significant price fluctuations in the current market climate.

Most rejected ETF applications were linked to the fear of manipulation witnessed in the BTC market and the non-existence of surveillance-sharing data agreements. Companies who succeeded in applying say that those concerns have already been met; hence, they are not relevant anymore. This should have been reflected in the SEC’s opinion to delay its final decisions.

ETH To Go Bullish This Week, More ETF Applications Delayed

The price of ETH may challenge the immediate support level at $1,915 within the next few days as traders evaluate how outside influences will affect the overall trajectory of the cryptocurrency. Support and resistance levels have been reevaluated in light of the current market drop, with traders and investors modifying their techniques in reaction to shifting market conditions.

The price of Ethereum may rise within the week. Analysis from Coinpaper says that the current price level of Ethereum gives a good buying opportunity and may rise to the $2000 price mark when the bull finally comes. The profit-taking and reinvestment activities that will ensue during the bull run may cause it to increase to $2,120 in the short term.

The SEC has decided to delay making decisions that involve application by Hashdex as a way of transforming the already existing BTC features ETF into a working spot ETF. SEC has shifted its decisions on Grayscale’s application to introduce an ETH ETF formally.

The report says that Hashdex had applied for the conversion  of its BTC features ETF to spot BTC ETF sometime in September 2023. The record shows that Grayscale applied for the same ETH features ETF in the same month as Hashdex. Before now, both applications had November 17th as the deadline, but SEC has recently shifted the date to have more time to make an effective decision on the matter.

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Chad Butler
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Chad Butler

Chad Butler, a renowned name in crypto journalism, excels in translating complex blockchain topics into lucid prose. His astute analyses and timely updates make him a trusted voice in the cryptocurrency landscape. Through his articles, Chad consistently offers readers an informed and insightful perspective on the evolving digital market

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