The U.S. Securities and Exchange Commission (SEC) has ordered exchanges to quickly update their 19B-4 documents related to Ethereum (ETH) Exchange-Traded Funds (ETFs). This move significantly increases the chances of ETH ETFs getting approved, potentially marking a major milestone in the cryptocurrency market.
As analysts speculated about the possibility of a spot Ethereum ETF approval, large investors, mainly big “whales,” increased their bullish positions on the world’s second-largest cryptocurrency.
SEC Request To Update 19b-4 filings
Currently, Ethereum (ETH) is trading at $3,692, marking a 19.64% increase, with a market cap of $437 billion. Moreover, the daily trading volume for ETH has skyrocketed by an impressive 264%, surpassing $36.67 billion.
This notable price surge came after the U.S. SEC urged issuers to update their 19b-4 filings for a spot Ethereum ETF on Monday. Earlier, market analysts were not hopeful about the SEC’s approval of a spot Ethereum ETF due to communication gaps between the SEC and the issuers.
However, recent developments have led market analysts to raise the odds of a spot Ether ETF approval from 25% to over 75%, as noted by crypto analyst Michael van de Poppe’s tweet.
The first decision on the VanEck spot Ethereum ETF is expected by May 23, leading to ongoing price volatility. Positive developments could drive Ether’s price above $4,000.
Additionally, the ETH/BTC pair has been on a sharp rise, even amid Bitcoin’s strong rally. Meanwhile, some big players have begun exchanging their Bitcoins for Ethereum.
Whales Accumulating ETH Over BTC
According to data from blockchain analytics platform Lookonchain, James Fickel the founder of Amaranth Foundation has recently borrowed 350 WBTC, equivalent to approximately $25 million, and exchanged it for 6,905 $ETH.
This move highlights his bullish stance on the ETH/BTC trading pair, reflecting his confidence in Ethereum’s potential outperformance against Bitcoin. To date, Fickel has acquired 2,741 WBTC ($150.3 million) through Aave, converting it into 50,693 ETH at a rate of 0.05408.
This positive shift in sentiment follows months of negative from experts about the approval, which had kept Ethereum from rising like Bitcoin.
