Ethereum (ETH), the second-largest cryptocurrency by market capitalization, has seen a significant surge in value against the U.S. dollar. This increase is attributed to speculation surrounding the potential approval of spot ether exchange-traded funds (ETFs) by the U.S. Securities and Exchange Commission (SEC).
On Monday, Ethereum (ETH) reached a peak value of $3,691 per coin, driven by rumors circulating on social media and forums regarding the SEC's possible approval of several spot ETH ETFs. According to a report by Coindesk, exchanges were reportedly instructed by the SEC to expedite their 19b-4 filings.
Analysts Eric Balchunas and James Seyffart of Bloomberg raised their approval predictions from 25% to 75%. This speculation led to a substantial increase in ETH's value, rising from $3,140 at 3 p.m. Eastern Time (EDT) on May 20 to a high of $3,691 per coin by 6:30 p.m. EDT.
Analyzing the oscillators for ETH/USD, it is observed that the sentiment is mixed. While most indicators indicate a lack of strong momentum or overbought/oversold conditions, the awesome oscillator and momentum suggest positive signals, reflecting underlying strength. Moving averages (MAs) consistently signal bullish sentiment across all timeframes, highlighting a sustained upward trend and strong optimism in the market.
ETH has experienced a 17.96% appreciation against the U.S. dollar, gaining $551 in value within a few hours. With a dominance of 17% within the $2.58 trillion cryptocurrency market, ETH has an overall market valuation of $436 billion. It is currently the third-highest traded cryptocurrency, with a trading volume of $26.99 billion in the past 24 hours. The most traded pair for ETH today is the stablecoin tether (USDT), followed by FDUSD, USDC, BTC, and the Korean won. The Korean won accounts for 1.67% of all ETH swaps in the past day.
As the market rises rapidly, $302.52 million in derivatives positions were liquidated, with ETH shorts leading the way at $102.78 million liquidated in the past day. Coinglass.com metrics show that 76,107 traders were liquidated in the past 24 hours. The largest single liquidation order occurred on HTX with an ETH/USDT trade valued at $3.11 million.
At the time of writing, at 8:05 p.m. EDT on Monday, a single ETH is being traded at $3,668 per unit. The substantial rise of ether on Monday has garnered attention and discussion. Share your thoughts on this subject in the comments section below.