Category Archives: Ethereum
Ethereum Bloodbath Incoming? Celsius $125 Million Move Threatens ETH Price – NewsBTC
The Ethereum price might be doing well post-spot Bitcoin ETF launch, but recent moves by Celsius threaten to destabilize the price movement. The now-bankrupt crypto lender seems to have begun its reimbursement plan to its creditors, as on-chain data reveal the movement of its ETH holdings to crypto exchanges.
According to crypto market intelligence company Arkham Intelligence, Celsius Network carried out transfers worth over $125 million worth of ETH last week to various crypto exchanges.
Data shows that between January 8 and January 12, Celsius executed transfers worth $95.5 million to crypto exchange Coinbase while also sending $29.73 million to FalconX. At the time of writing, Celsius Networks balance sheet has 584,601 ETH worth $1.47 billion. Notably, it also has 9,799 BTC worth $418.2 million and 659 million CEL tokens worth $133.2 million on its books, among other cryptocurrencies.
Celsiuss motive behind the transfers into exchange points to nothing apart from an intending selloff, as the company is well on its way to clearing its liabilities under bankruptcy proceedings.
Celsius filed for bankruptcy in July 2022 shortly after the fall of TerraUSD and the LUNA ecosystem, leading to creditors having their funds trapped on the platform for the last 18 months. However, the defunct crypto lender has been making major moves in its bankruptcy proceedings to refund creditors. According to reports, the company sold $240 million worth of ETH in December 2023.
Notably, the company communicated its decision earlier this month on January 5 to unstake $465 million worth of Ethereum (ETH) which will be distributed to its creditors.
Ethereum is currently on a roll, still on a 13% gain in the past seven days. However, huge selloffs like this tend to shake market confidence, leading to a sell-off from other investors. On the other hand, some tend to believe that the crypto is sufficiently resilient.
Its important to note that Ethereum retained its bullish sentiment during the time these transfers were made, as price action revealed a 23% jump from $2,191 on January 8 to $2,706 on January 12. Ethereum has declined since then and is now trading at $2,514. According to Coinglass, $23.84 million worth of ETH positions were liquidated in the past 24 hours.
Despite the recent large transfers, Celsius still retains significant cryptocurrency assets including ETH, BTC, MATIC, and LINK. A decision to continue the selling off of these assets could lead to a bigger dent in the price of the assets, particularly Ethereum, which is now testing the $2,500 support level.
On-chain data from Spotonchain also reported FTX and Alameda Research moving 1,000 ETH worth $2.33 million to crypto exchange Coinbase during the week.
Featured image from The Daily Hodl, chart from Tradingview.com
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Ethereum Bloodbath Incoming? Celsius $125 Million Move Threatens ETH Price - NewsBTC
A Popular Analyst Figures Out the Next Price Action for Ethereum: Says ETH Price May Reach These Levels in 2-3 Months – Coinpedia Fintech News
The crypto markets have been filled with hope soon after the fresh CPI rates went in favour of the space. Although the Bitcoin price failed to react positively, it sustained strongly and defended the lower support, suggesting the token is well prepared for the next rally. Besides being the second largest token, Ethereum is also following the star token but displaying more potential and strength, which may even surpass Bitcoin in terms of gains.
Soon after the SEC officially approved all the spot Bitcoin ETF applications, the crypto space, including ETH prices, roared beyond their respective resistances. While a decent pullback was expected, the token managed to sustain above the gains, displaying the dominance of the bulls. Regardless of the mountaineering selling pressure, the token is expected to maintain a healthy upswing and is speculated to rise beyond the pivotal targets.
A popular analyst, Michael van de Poppe, in his recent analysis, has lauded the bullish strength and hence believes the price may make it to $3500 very soon.
In the above chart, the analyst highlights the price sticking above the levels around $2,140 for quite a long time. As a result, the levels had become a strong support zone but were failing to trigger a healthy upswing towards the next higher target. However, the recent breakout has partially changed the scenario, which now suggests a continuation beyond $2700 could be imminent.
Ethereum flipped the crucial level at $2,130 for continuation,
After that, breakout towards new cycle highs at $2,700 and looking for continuation to $3,500 in the coming 2-3 months,
Collectively, the ETH price continues to display extreme strength regardless of the bearish pressure slowly intensifying. The price after breaching the crucial resistance zone is accumulating strength and hence is believed to trigger a fresh upswing towards $2,700 initially, which may pave the way for a major breakout above $3000.
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Why Ethereum, Ethereum Classic, and Lido Staked Ether All Popped This Week – The Motley Fool
The cryptocurrency space has become a rather intriguing one to follow, particularly over the past week. For investors looking at the impressive moves made by Ethereum (ETH 2.70%), Ethereum Classic (ETC 3.29%) and Lido Staked Ether (CRYPTO:STETH), one might surmise that everything is sunshine and rainbows. After all, as of 3:30 p.m. ET, these three cryptos surged 16.3%, 47.3%, and 16.7%, respectively, over the past week.
However, it's also the case that Bitcoin (BTC 1.06%) is actually trading exactly flat this week over the same time frame. After surging more than 10% to a multiyear high of more than $48,500 this week, Bitcoin has since given up all its weekly gains, trading back to the $43,800 level at the time of writing.
This move follows the highly anticipated approval of spot Bitcoin ETFs, which has completely changed the investing landscape in the crypto sector, probably for good. Interestingly, Ethereum and its related tokens are seeing impressive surges, suggesting these cryptos may have ultimately been the better way to play this event.
Let's dive into why.
It's usually a good rule of thumb to wait a few days to assess how the enthusiasm around a specific catalyst for any asset plays out. In this case, it appears most of the buying activity for Bitcoin took place prior to, and around, its ETF approvals. Since then, a "sell the news" narrative has grown, suggesting perhaps the hype around these approvals may have already been priced into Bitcoin heading into this key catalyst.
However, the approval of 11 spot Bitcoin ETFs by the Securities and Exchange Commission (SEC) has sent ripple waves through the market. For Ethereum, the world's second-largest cryptocurrency (and one that regulators have also shown a favorable stance toward in the past), the potential for spot Ethereum ETF approvals has shot higher following this news. Investors hoping for a similar rally heading into future spot Ethereum ETF approvals may be simply looking to get ahead of this trade.
For Ethereum Classic (the proof-of-work fork of Ethereum) and Lido Staked Ether (staked Ethereum on Lido's liquid-staking network that can be redeemed 1 to 1 with Ethereum), a rising tide tends to lift all boats. What's good for Ethereum is generally good for these tokens and will continue to drive outsized interest in these higher-volatility Ethereum alternatives.
If you asked me heading into this week whether Bitcoin or Ethereum and its related tokens would have a better week, I probably would have said Bitcoin. Most of the momentum in this sector was firmly behind the gold standard in this space, and a surge in capital (which could be as much as $100 billion) into Bitcoin should, in theory, lead to massive support for the world's largest cryptocurrency. These fundamentals remain in play. However, it's becoming clearer that much of the anticipation around these approvals had been priced in prior to the announcement.
Given how fast the crypto world moves, Bitcoin ETF approvals are now old news. Investors appear to be clearly focused on the next token with the biggest potential catalyst out there, and that's Ethereum right now.
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Why Ethereum, Ethereum Classic, and Lido Staked Ether All Popped This Week - The Motley Fool
Forget Solana, This Cryptocurrency Is Poised for an Incredible Run in 2024 – The Motley Fool
After rising by more than 900% last year, Solana (SOL 4.46%) might be the most deserving to hold the title of crypto's 2023 MVP. Yet, while the digital currency's monumental resurgence provided a much-needed respite after it fell to as low as $8, Solana's long-term prospects pale in comparison to one of crypto's household names: Ethereum (ETH 2.73%).
Here's why investors would be remiss to overlook Ethereum's potential while the market's focus remains elsewhere.
Image source: Getty Images.
In 2015, Ethereum arrived on the crypto scene with a bang. At the time, it was the first blockchain that allowed developers to build custom decentralized applications via smart contracts -- transactions that self-executive when certain terms are met -- making Ethereum the first programmable cryptocurrency.
Ethereum's pioneering of smart contracts meant that the majority of innovative crypto uses initially found a home on its blockchain. Things like non-fungible tokens (NFTs), decentralized finance (DeFi), and much more all started on Ethereum and represented a seismic shift in the trajectory of crypto's capabilities.
But like any iteration of technology, new versions eventually arose. Enter Solana. Building off of Ethereum's efforts, Solana arrived in 2017 offering developers and users a faster and cheaper alternative to Ethereum.
Fast-forward a few years, and Solana has assumed the title of Ethereum killer, gaining significant traction in the crypto economy thanks to its blazing speeds and extremely low fees. Today, it is the fifth-most-valuable cryptocurrency on the market with a total valuation of $41 billion.
Solana's rapid rise to become one of the most valuable cryptocurrencies has brought a wave of hype with it. Yet even with this, Ethereum remains nearly six times as valuable and supports 20 times more value across the DeFi economy.
While Solana optimists might paint a different picture, the reality is that Ethereum remains the epicenter of the decentralized economy. It has the largest developer community, has a proven track record of functionality, and continues to implement upgrades that will further increase the network's capabilities.
Most importantly, these upgrades are part of the reason Ethereum is poised for a run in 2024. In the second half of the year, Ethereum will launch EIP-41844, an upgrade that will lower transaction fees and increase its throughput.
For the entirety of Solana's existence, its primary advantage was that it is a cheaper and faster version than Ethereum. But what will happen if Ethereum levels the playing field?
With increased efficiency and scalability, the number of uses Ethereum can support will likely increase. Since one of the primary ways a cryptocurrency is valued lies in the utility it provides, EIP-41844 could bring new value to Ethereum's long-term prospects.
Best of all, though, EIP-41844 is just one of a series of planned upgrades over the coming years. Subsequent improvements will introduce new functionality such as greater security, increasing decentralization, and further streamlining of the network.
In totality, Ethereum's future upgrades hold the potential to solidify it as the most valuable smart-contract blockchain and squash any competition.
Like many markets in the world today, the DeFi economy will likely have several competitors. Take the smartphone market as an example. While Androids make up more than 80% of the global market, Apple's iPhone still holds a considerable portion.
A similar future in crypto is likely: one where Solana and Ethereum coexist, with each offering developers and users different options. However, when deciding which of the two is poised for a significant run, Ethereum looks more promising, especially over the long haul.
While Solana ran up more than 900% in 2023, Ethereum witnessed a measly 90% jump. As the second-most-valuable cryptocurrency on the market and home to more decentralized applications than any other blockchain, this lack of performance suggests that Ethereum has a bit of catching up to do.
Fortunately, Ethereum is no stranger to significant growth. During the last bull market, it rose by nearly 2,000% when it skyrocketed from around $200 to more than $4,800 over a year and a half. Whether a similar scenario unfolds remains to be seen.
But when considering the potential that will accompany EIP-41844, as well as future upgrades, don't be surprised if Ethereum becomes one of the best performers in your portfolio for years to come.
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Forget Solana, This Cryptocurrency Is Poised for an Incredible Run in 2024 - The Motley Fool
Crypto Suddenly Surges On Huge $4 Trillion To $10 Trillion Bitcoin ETF BetsBoosting The Price Of Ethereum, XRP, BNB, Solana And Cardano – Forbes
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Ethereum: BlackRock CEO Larry Fink Sees Value in ETH ETF – Watcher Guru
While speaking to CNBC, BlackRock CEO Larry Fink said he sees value in having a spot Ethereum (ETH) ETF (Exchange Traded Fund). Finks comments come on the heels of 11 spot Bitcoin (BTC) ETFs (Exchange Traded Funds) being approved by the US SEC (Securities and Exchange Commission). US investors have long asked for spot ETFs for the cryptocurrency space.
JUST IN: BlackRock CEO Larry Fink says they "see value in having an Ethereum ETF."
Also Read: Spot Ethereum ETF To Follow Spot Bitcoin ETF: Says Analyst
BlackRock, the worlds largest asset manager, has already applied for a spot ETH ETF. Other firms that have submitted applications include VanEck, 21Shares & ARK, Grayscale, etc..
The SECs final deadline for a decision on VanEcks spot ETH ETF application is May 23, 2024. The final deadline for BlackRocks application, on the other hand, is on Aug. 7, 2024.
According toBloombergETF analyst Eric Balchunas, there is a 70% chance that the SEC will approve an Ethereum (ETH) ETF by May 2024. According to the analyst, The Ether spot is tied to the hip of [the] Bitcoin spot for sure. Its gonna go wherever it goes. Its essentially on a 15-foot rope following it.
Also Read: Ethereum: SEC May Approve ETH ETF in May, Says Bloomberg
Balchunas was previously cautious about a spot Bitcoin (BTC) ETF. However, the analyst has since changed his stance. Balchunas is optimistic about an Ethereum (ETH) ETF and has a high approval chance.
On the other hand, digital asset lawyer Joe Carlasare believes a spot ETH ETF will receive approval from the SEC, but it may take longer than expected.
A spot Ethereum ETF could lead to significant institutional funding for the second-largest cryptocurrency. With a spot BTC ETF already approved, a spot ETH ETF could send the crypto market into a new bull run. However, there is a possibility that the SEC will postpone its decision due to technical reasons.
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Ethereum: BlackRock CEO Larry Fink Sees Value in ETH ETF - Watcher Guru
Ethereum (ETH) vs Retik Finance (RETIK), Which Giant Will Give Better Returns in 2024? – Finbold – Finance in Bold
Press Releases are sponsored content and not a part of Finbold's editorial content. For a full disclaimer, please . If you encounter any issues, kindly report them to [emailprotected]. Crypto assets/products can be highly risky. Never invest unless youre prepared to lose all the money you invest.
Investors are constantly on the lookout for the next big opportunity that promises substantial returns. Ethereum (ETH) has long been regarded as the pioneer, revolutionizing the blockchain space with its introduction of smart contracts and the Ethereum Virtual Machine (EVM). However, in recent times, a new player has emerged on the scene Retik Finance (RETIK), touted by many as the giant poised to deliver better returns in 2024.
Ethereum, often referred to as the world computer, has been a driving force behind the adoption and development of decentralized applications (DApps) and smart contracts. Its compatibility with the EVM has fostered a robust ecosystem of tokens and projects. Despite its success, Ethereum faces significant challenges.
One of the major hurdles Ethereum grapples with is scalability. As the popularity of the platform has surged, scalability issues have led to network congestion and higher transaction costs. High gas fees, the cost associated with processing transactions on the Ethereum network, have been a point of concern for users and developers alike. These challenges have prompted a search for alternative solutions within the crypto community.
Enter Retik Finance a decentralized finance (DeFi) project that aims to address the limitations of existing platforms. Retik Finance has quickly gained attention for its innovative approach, leveraging cutting-edge technology to enhance scalability, reduce transaction costs, and provide a seamless user experience. At its core, Retik Finance is designed to be a community-driven platform, allowing users to actively participate in governance and decision-making processes.
Retik Finance distinguishes itself by focusing on scalability solutions. In a bid to overcome the scalability challenges faced by Ethereum, Retik Finance employs innovative technologies that enhance transaction throughput. This approach not only addresses the limitations of existing platforms but also positions Retik Finance as a potential disruptor in the DeFi space. Moreover, Retik Finance places a strong emphasis on community governance. Users have a significant role in shaping the direction of the platform, fostering a sense of ownership and inclusivity. This community-driven approach sets Retik Finance apart from more traditional, centralized financial systems. One of the significant draws of Retik Finance is its commitment to lowering transaction costs. By minimizing the fees associated with transactions, Retik Finance aims to make DeFi more accessible to a wider audience. This aligns with the broader goal of democratizing finance and ensuring that financial services are not only decentralized but also cost-effective for users.
The exceptional fundraising achievements of Retik Finance underscore the projects widespread appeal and investor confidence. Raising $1 million in just nine days and subsequently attracting almost $6 million in less than a month is a testament to the projects compelling value proposition and the communitys belief in its success. The presale model, featuring 10 stages with incremental token prices, has created a sense of urgency and exclusivity for early investors. Starting at an attractive price of $0.03 in the first stage and gradually increasing, the presale structure incentivizes early participation, allowing supporters to secure tokens at more favorable rates. In parallel, Retik Finances mega $333K Giveaway adds an extra layer of excitement to the project. The chance for users to become one of the 10 winners, each receiving $33,300 worth of RETIK, adds a dynamic and engaging element to the platforms community-building efforts.
Ethereums long-standing dominance is evident. However, increasing competition from other blockchains and layer 2 solutions poses a threat to its continued supremacy. Ethereum 2.0, an upcoming upgrade, aims to address scalability concerns by shifting to a proof-of-stake consensus mechanism. The success of this upgrade will play a crucial role in determining Ethereums trajectory in the years to come. On the other hand, Retik Finance is positioned as an emerging player with the potential to capture market share by providing innovative solutions to existing problems. Strategic partnerships and collaborations can further propel Retik Finance into the spotlight, attracting both users and developers looking for alternatives to traditional financial systems. Ethereums historical performance has been marked by periods of significant growth, often influenced by technical developments such as network upgrades. The anticipation and reaction of the market to these upgrades play a pivotal role in determining Ethereums price trajectory. Retik Finance, as a newer entrant, presents a different dynamic. Its potential for growth is driven by technological advancements and the support it receives from the community. However, investing in a newer project comes with inherent risks, and investors must weigh these risks against the potential rewards. As we enter into the future of cryptocurrency in 2024, Retik Finance stands as a promising project in the arena. Its commitment to addressing scalability issues, reducing transaction costs, and fostering a community-driven ecosystem positions Retik Finance as a potential giant poised to deliver superior returns. While Ethereum has solidified its place in the history of blockchain technology, the competitive landscape is evolving, and investors must carefully consider the strengths and weaknesses of both Ethereum and Retik Finance to make informed decisions in this dynamic market. The journey ahead promises exciting developments, and the stage is set for Retik Finance to make a significant impact in the years to come.
Retik Finance (RETIK) is a cutting-edge decentralized finance (DeFi) project revolutionizing global transactions with its innovative suite of financial solutions. Introducing futuristic DeFi Debit Cards, a Smart Crypto Payment Gateway, AI-powered Peer-to-Peer (P2P) lending, and a Multi-Chain Non-Custodial Highly Secured DeFi Wallet.
Click Here To Take Part In Retik Finance Presale
Visit the links below for more information about Retik Finance (RETIK):
Website: https://retik.com
Whitepaper: https://retik.com/retik-whitepaper.pdf
Linktree: https://linktr.ee/retikfinance
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2 Cryptos To Perform the Best in 2024: Ethereum (ETH) and Retik Finance (RETIK) – Techpoint Africa
Two cryptocurrencies poised for exceptional performance are Ethereum (ETH) and Retik Finance (RETIK). Ethereum, recognized as the pioneering force in smart contracts and decentralized applications, continues to solidify its standing with the Ethereum 2.0 upgrade, addressing scalability concerns and fostering sustainability. On the other hand, Retik Finance emerges as a rising star, boasting innovative features like futuristic DeFi Debit Cards and rapid fundraising success, having gained $1 million in just nine days and nearing $6 million in less than a month. As both Ethereum and Retik Finance contribute distinctive strengths and fresh perspectives to the cryptocurrency space, they stand out as promising projects for investors seeking diversified opportunities in the dynamic market of 2024.
Ethereum, often hailed as the "world computer," has been a stalwart in the cryptocurrency space since its inception. As the first platform to introduce smart contracts, Ethereum has played a transformative role in shaping the decentralized finance (DeFi) and decentralized application (DApp) landscapes. In 2024, Ethereum's continued prominence is driven by several key factors. Firstly, Ethereum 2.0 represents a major upgrade that addresses scalability concerns by transitioning to a proof-of-stake (PoS) consensus mechanism. This upgrade aims to enhance transaction speed and reduce energy consumption, making Ethereum a more sustainable and efficient blockchain platform. Secondly, Ethereum's thriving ecosystem remains a key driver of its success. The platform hosts a multitude of decentralized applications, from decentralized exchanges (DEXs) and lending platforms to non-fungible token (NFT) marketplaces. The versatility and adoption of Ethereum position it as a reliable and robust choice for developers and users alike.
Retik Finance emerges as a rising star in the cryptocurrency space, showcasing innovation and ambition in the decentralized finance sector. The project introduces a range of groundbreaking features that aim to redefine global transactions. As we look ahead to 2024, several factors contribute to Retik Finance's potential to perform exceptionally well. One of Retik Finance's standout features is its futuristic DeFi Debit Cards, which bring a new level of accessibility and security to financial transactions. The platform also offers a Smart Crypto Payment Gateway, AI-Powered Peer-to-Peer (P2P) Lending, and a Multi-Chain Non-Custodial Highly Secured DeFi Wallet, catering to a diverse set of financial needs within the crypto community. Retik Finance's rapid fundraising success further underscores its potential. Raising $1 million in just nine days and approaching $6 million in less than a month, the project has captured the attention and trust of the crypto community. The ongoing presale, structured across 10 stages, has seen significant participation, surpassing $8.34 million in total funds raised.
While Ethereum and Retik Finance operate within the broader cryptocurrency space, they bring distinct features and strengths to the table. Ethereum's established reputation, widespread adoption, and ongoing upgrades position it as a reliable and foundational choice. On the other hand, Retik Finance's rapid ascent, commitment to innovation, and privacy-centric approach appeal to users seeking fresh perspectives within the DeFi landscape. As we step into 2024, Ethereum and Retik Finance emerge as compelling choices with unique strengths and innovations. Ethereum, with its proven track record and ongoing upgrades, remains a cornerstone of the cryptocurrency space. Meanwhile, Retik Finance's rapid ascent, innovative features, and privacy-centric approach position it as a disruptor in the DeFi landscape. Whether investors opt for the reliability of Ethereum or the potential growth of Retik Finance, both cryptocurrencies contribute to the dynamic and ever-evolving narrative of the crypto market in the coming year.
Retik Finance (RETIK) is a cutting-edge decentralized finance (DeFi) project revolutionizing global transactions with its innovative suite of financial solutions. Introducing futuristic DeFi Debit Cards, a Smart Crypto Payment Gateway, AI-powered Peer-to-Peer (P2P) lending, and a Multi-Chain Non-Custodial Highly Secured DeFi Wallet.
Click Here To Take Part In Retik Finance Presale
Visit the links below for more information about Retik Finance (RETIK):
Website: https://retik.com
Whitepaper: https://retik.com/retik-whitepaper.pdf
Linktree: https://linktr.ee/retikfinance
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2 Cryptos To Perform the Best in 2024: Ethereum (ETH) and Retik Finance (RETIK) - Techpoint Africa
Ethereum Price Predictions: Can a Bitcoin ETF Take ETH to New Heights? – InvestorPlace
Source: Thaninee Chuensomchit / Shutterstock.com
Ethereum (ETH-USD) price predictions are a hot topic among crypto traders today as they reevaluate the potential of the token.
The big news that has crypto investors looking at ETH is the approval of several Bitcoin (BTC-USD) spot exchange-traded funds (ETFs). This has fans of Ethereum hopeful that ETH spot ETFs could be next for approval by the Securities and Exchange Commission (SEC).
While its unclear how the SEC will rule on Ethereum spot ETFs, we should have an answer sometime this year. The agency is set to tackle the subject in May, and that could be a major catalyst for the crypto.
With all of that said, it makes sense that crypto traders are looking at Ethereum price predictions today. Were helping with that with a look at some of the latest estimates below!
To put those price predictions in perspective, Ethereum is trading for $2,629.93 as of Thursday morning. Investors will also note that ETH is up 81.% over the prior 24-hour trading period as of this writing.
Investors looking for even more of the hottest market stories will want to keep reading!
We have all of the latest stock market news that traders need to know about on Thursday! A few examples include CricleIPOdetails and the latest news for Chesapeake Energy(NASDAQ:CHK) and Salesforce(NYSE:CRM) stock. You can catch up on these matters at the following links!
On the date of publication, William Whitedid not have (either directly or indirectly) any positions in the securities mentioned in this article.The opinions expressed in this article are those of the writer, subject to the InvestorPlace.comPublishing Guidelines.
Article printed from InvestorPlace Media, https://investorplace.com/2024/01/ethereum-price-predictions-can-a-bitcoin-etf-take-eth-to-new-heights/.
2024 InvestorPlace Media, LLC
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Ethereum Price Predictions: Can a Bitcoin ETF Take ETH to New Heights? - InvestorPlace
Ethereum Price Could Reach $5k in 2024 If this Scenario Plays Out – crypto.news
Ethereum price has prodded above $2,500 on Jan. 15, further stretching its post-ETF approval lead over BTC, on-chain data trends provide vital insights into the underlying drivers.
Buy-the-rumor, sell-the-news is a popular trading strategy where speculators make acquisitions ahead of a material news event in hopes of selling at a profit when news is confirmed. BTC speculators capitalized on this trading strategy to earn historic gains in the build-up to the spot Bitcoin ETF approval verdict. Vital on-chain data trends now reveal that Ethereum (ETH) has also begun to show early signs of a similar phenomenon.
The Bitcoin spot ETF approval quest suffered multiple setbacks recently, with the U.S. Securities and Exchange Commission (SEC) citing market manipulation, oversight, and liquidity concerns.
However, on June 15, 2023, things turned positive when BlackRock (NASDAQ: BLK) officially filed for a spot Bitcoin ETF with the SEC. With over $13 trillion in assets under management (AUM), BlackRock is one of the largest asset management firms in the world.
BlackRocks entry into the fray raised optimism about Bitcoin derivatives and effectively spun the rumor mill.
As of June 15, Blackrocks official filing date, Bitcoin price was trading around $24,800. Within the first two weeks, speculators who aped-in early on the rumor sent Bitcoin price rallying 25% to hit $30,000 for the first time in 12 months, dating back to June 2022.
Between June 15 and Jan. 11, when the SEC eventually confirmed the news, Bitcoin price nearly doubled, moving from $24,800 to a local top of $48,890. This effectively sent speculators who bought the rumor after BlackRocks filing into 97% profit.
Unsurprisingly, the wave of profit-taking that ensued in the aftermath of the SEC approval has sent BTC price spiraling to 15% toward $42,500 as of Jan. 15. This affirms the full cycle of the buy-the-rumor, sell-the-news cycle on the spot Bitcoin ETF narrative.
With the Bitcoin ETF now at a conclusion, investors have switched focus to Ethereum. BlackRock had filed for spot Ethereum ETF on Nov. 16. In a recent interview on Jan. 12, BlackRock CEO Larry Fink re-emphasized the value of an Ethereum spot ETF as an asset class.
While the BTC price has dropped by 3.8%, Ethereum has increased by 13.5% in the past week. In effect, ETH price has outperformed BTC by approximately 10%.
Interestingly, in addition to this divergent interplay between ETH and BTC price movement over the past week, strategic on-chain movements from Ethereum whales since Jan. 11 also corroborate early signals of the buy-the-rumor strategy playing out in ETH markets.
On paper, Ethereum price has outperformed BTC by 10% in the past week, per Coin360 data. Looking beyond the price charts, a vital on-chain indicator has revealed that ETHs performance has been boosted by corporate entities and high net-worth investors who increased their buy pressure shortly after the Bitcoin ETF approval verdict.
Santiments supply held by top addresses metric shows a real-time snapshot of the aggregate balances currently controlled by the largest wallets in a crypto ecosystem.
The latest readings show that the top 1,000 Ethereum wallets held just 66 million ETH in cumulative balances as of Jan. 10.
But since the focus switched to spot Ethereum ETF, strategic ETH investors have entered a buying spree, adding 570,000 ETH to bring their balances to 66.5 million ETH at press time on Jan. 15.
Valued at the current price of $2,540, the Ethereum top holder supply chart above illustrates that the top 1,000 investors have added ETH coins worth $1.4 billion to their holdings in the last four days alone.
Intuitively, when the largest stakeholders increase their balances rapidly by hundreds of millions, it is interpreted as a strong bullish signal. Firstly, the buying trend among the largest stakeholders increases overall confidence within the cryptocurrencys ecosystem.
Given that large holders are often likely to hold longer than small-holder swing traders, this accumulation puts ETH in a prime position to score historic gains in the weeks ahead.
But more importantly, the timing of the recent buying spree suggests that investors are buying the rumor with optimism that Bitcoins ETF approval will increase the likelihood that ongoing ETH applications will also obtain a positive verdict from the SEC.
The Ethereum Dominance (ETH.D) chart further affirms this stance. Ethereum has cornered 14% more market share between Jan. 10 and Jan. 15, while Bitcoin price has declined at a nearly identical 15%.This suggests that speculative traders are selling the news on BTC, rapidly buying the rumor ahead of a possible spot ETH ETF approval verdict.
From the data points analyzed above, the large holder wallets accumulation and the rising ETH dominance suggest that the buy-the-rumor strategy is now widely in play in the Ethereum markets.
Given that Bitcoin had scored 97% gains in the build-up to the spot ETF approval verdict, a similar performance could put ETH in line to reach $5,000 in the instance of a positive outcome.
But in the short term, the ETH bulls will have to scale the $2,900 resistance to keep the momentum going. IntoTheBlocks Global In/Out of the Money chart, which highlights potential support/resistance points using the historical entry prices of current ETH holders, also supports this ETH prediction
It shows that with ETH prices currently trading above $2,500, 91% of all ETH holders are now in profit positions. With the ETH ETF approval process on the front burner, these holders could increasingly become less inclined to sell.
However, the 8.5 million Ethereum holders who bought 4.1 million ETH coins could pose significant resistance if they book early profits as prices approach their break-even point.
The bears could negate this bullish prediction if the ETH price unexpectedly retreats below $2,000. However, 7.9 million investors acquired 43.4 million ETH at the maximum price of $2,039.
Considering this is the largest cluster of ETH current holders, they will likely have enough in the tank to overturn such bearish pressure.
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Ethereum Price Could Reach $5k in 2024 If this Scenario Plays Out - crypto.news