Bullish Sentiment Resurfaces as Ethereum ETF Hype Signals the End of Winter

Crypto enthusiasts are experiencing a resurgence in optimism as rumors circulate about the possibility of an approved spot Ether exchange-traded fund (ETF). This shift in sentiment comes after reports that the United States Securities and Exchange Commission (SEC) has reversed its stance on spot Ether ETFs, potentially due to political pressure. It has been reported that the SEC has requested ETF exchanges to update their 19b-4 filings.


According to CoinGecko, Ether (ETH) has surged by 19.4% in the past 24 hours, reaching a trading price of $3,685 at the time of writing. This is the highest price Ether has reached since April 9. While the exact cause of this sudden surge is unclear, Bloomberg ETF analyst Eric Balchunas and other industry experts speculate that it may be a result of a changing attitude towards cryptocurrencies in Congress.
Henrik Andersson, the chief investment officer at asset manager Apollo Crypto, commented to Cointelegraph, “An approval suddenly looks likely. There is a turning tide in Washington that got ignited by SAB 121 where members of both parties voted to block the bill.” Andersson also noted that crypto-owning Americans could be a crucial voter group in this election year.
Adam Cochran, a partner at venture capital firm Cinneamhain Ventures, expressed his optimism, saying, “It could mean the winter is over and it’s time for a US renaissance in crypto.” Similarly, Ryan Sean Adams, one of the hosts of the Ethereum podcast Bankless, suggested that a political shift could signify the end of “operation choke point 2.0” and a newfound support for cryptocurrency-friendly regulation.


During the CNBC Financial Advisor Summit, Galaxy Digital founder and CEO Mike Novogratz stated that he has never felt more confident in the cryptocurrency industry and the potential for institutional adoption in the next 12 to 24 months.


As the U.S. presidential election approaches, digital assets have become an increasingly important issue. Republican candidate Donald Trump has made efforts to win support from the crypto industry, including hosting a dinner with NFT enthusiasts at his Florida home. Trump’s promises to prevent innovators from leaving the country and his mocking of President Joe Biden’s knowledge of crypto have gained him favor among crypto supporters. It is speculated that this has prompted the Democrats to also seek political points in the industry.
A recent poll conducted by Digital Currency Group revealed that a candidate’s stance on cryptocurrencies could influence voters in swing states. The U.S. presidential election is scheduled for November 5, 2024.
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