Ethereum

Rally

<p>Following the approval of eight <a href="https://coingape.com/us-sec-approves-8-spot-ethereum-etf/" target="_blank" rel="noopener">spot Ethereum ETFs</a> by the U.S. Securities and Exchange Commission (SEC) on Thursday, May 23, the price of Ether (ETH) has remained stagnant at $3,800, showing no significant signs of an upward trend.</p> 
<p>Despite this, ETH has experienced a notable rally of over 30% in the past week. Investors are currently adopting a cautious stance, observing whether this development will result in a “sell-the-news” event.</p> 
<h3 id="ethereum-eth-price-shows-major-volatility">Ethereum (ETH) Price Shows Major Volatility</h3> 
<p>Ahead of the U.S. SEC announcing its decision to spot Ethereum ETF approval, the <a href="https://coingape.com/price/ethereum/" target="_blank" rel="noopener">ETH price</a> witnessed some wild swings. In the tense hour preceding the official approval, ETH initially dropped to $3,500 around the time of the traditional U.S. market close.</p> 
<p>Subsequently, it surged close to $3,900 upon the emergence of initial unconfirmed reports suggesting approval, ultimately settling above $3,800 after confirmation. Amid these massive price fluctuations, it turns out that a whale sold a staggering 7,900 ETH holdings worth $29 million.</p> 
<blockquote class="twitter-tweet"> 
 <p dir="ltr" lang="en">After <a rel="nofollow" href="https://twitter.com/search?q=%24ETH&amp;src=ctag&amp;ref_src=twsrc%5Etfw">$ETH</a> dropped, a whale panic sold 7,921 <a rel="nofollow" href="https://twitter.com/search?q=%24ETH&amp;src=ctag&amp;ref_src=twsrc%5Etfw">$ETH</a> at a price of 29.7M <a rel="nofollow" href="https://twitter.com/search?q=%24USDT&amp;src=ctag&amp;ref_src=twsrc%5Etfw">$USDT</a> for $3,754.</p> 
 <p>The whale is a user of <a rel="nofollow" href="https://t.co/ZZPnpTmYqj">https://t.co/ZZPnpTmYqj</a>, and his <a rel="nofollow" href="https://twitter.com/search?q=%24ETH&amp;src=ctag&amp;ref_src=twsrc%5Etfw">$ETH</a> was withdrawn from <a rel="nofollow" href="https://t.co/ZZPnpTmYqj">https://t.co/ZZPnpTmYqj</a>.<a rel="nofollow" href="https://t.co/CaE9aRb4XR">https://t.co/CaE9aRb4XR</a> <a rel="nofollow" href="https://t.co/Pbjlhsw4Pi">pic.twitter.com/Pbjlhsw4Pi</a></p> 
 <p>— Lookonchain (@lookonchain) <a rel="nofollow" href="https://twitter.com/lookonchain/status/1793652076054237692?ref_src=twsrc%5Etfw">May 23, 2024</a></p>
</blockquote> 
<p><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script></p> 
<p>During the turbulent episode, liquidations of leveraged crypto derivative positions surged to over $350 million throughout the day, marking the highest figure since May 1, according to <a rel="nofollow" href="https://www.coinglass.com/LiquidationData" target="_blank">CoinGlass</a> data.</p> 
<p>The majority of these liquidated positions were longs anticipating price increases, totaling approximately $250 million. This indicates that traders who had overextended themselves with leverage were taken by surprise by the abrupt price drop. Among the affected, ETH traders bore the brunt, with $132 million in liquidations.</p> 
<h3 id="eth-price-action-ahead">ETH Price Action Ahead?</h3> 
<p>The approval of the spot Ethereum ETFs could drive more than <a href="https://coingape.com/us-spot-ethereum-etf-record-500m-influx-post-sec-approval/" target="_blank" rel="noopener">$500 million</a> in inflows as predicted by analysts. However, this might take some time to realize and kickstart the uptrend.</p> 
<p>Several on-chain indicators have been pointing out that Ethereum can easily form a base above $4,000 and can continue rallying to $5,000-$6,000 up until August this year.</p> 
<p>While the approval of the Bitcoin ETFs led to strong institutional inflows, it will be interesting to see whether the Ether ETF launch could lead to greater institutional adoption.</p> 
<p>The post <a href="https://coingape.com/eth-price-struggles-to-rally-even-after-ethereum-etf-approval-sell-the-news-soon/">ETH Price Struggles to Surge Even After Ethereum ETF Approval, Sell The News Soon?</a> appeared first on <a href="https://coingape.com">CoinGape</a>.</p>

ETH Price Struggles to Surge Even After Ethereum ETF Approval, Sell The News Soon?

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