- Grayscale Investments has won a case against the SEC to convert the Grayscale Bitcoin Trust (GBTC) into a publicly traded Bitcoin exchange-traded fund (ETF).
- The decision sparked a 4.32% rally in the cryptocurrency market, with Bitcoin and Ethereum surging 5.56% and 4.63% respectively.
- Ethereum’s trading volume increased by 150.75% in the last 24 hours, reaching $11.4 billion.
In the throes of a bearish market, a beacon of optimism has been ignited by recent developments surrounding Grayscale Investments, a leading cryptocurrency asset manager. The firm has scored a notable triumph against the U.S. Securities and Exchange Commission (SEC) in its bid to convert the Grayscale Bitcoin Trust (GBTC) into a publicly traded Bitcoin exchange-traded fund (ETF). This milestone has sparked a 4.32% rally in the cryptocurrency market in the last 24 hours, driving key digital currencies such as Bitcoin
Examining the historical context, the SEC had previously dismissed Grayscale’s GBTC application in October 2021, citing apprehensions regarding insufficient protections against fraudulent and manipulative activities. In response, Grayscale initiated legal proceedings, which resulted in a positive reversal of the SEC’s initial decision.
In a noteworthy development on August 29, U.S. Court of Appeals Circuit Judge Neomi Rao approved Grayscale’s request for review, effectively overturning the SEC’s rejection of the GBTC listing application. Judge Rao had previously criticized the SEC for its lack of clarity in opposition to Grayscale. However, it’s crucial to underscore that this ruling does not necessarily ensure the future listing of a Grayscale spot Bitcoin ETF.
When will the value of ETH reach $2000?
As we draw closer to the decision date for sanctioning Bitcoin and Ethereum ETFs, the market continues to exhibit a bullish outlook, instilling optimism for the future. Ethereum, despite currently trading at its lowest levels since the second quarter, fluctuating between $1650 and $1698, has seen a recent bullish revival following a month-long struggle with bearish trends. This failed to propel the price beyond the $1800 mark. Nevertheless, the ongoing positive trend, coupled with the potential green light for ETFs, indicates a high likelihood of Ethereum’s price breaking the $2000 barrier and potentially even climbing higher.
Ethereum has witnessed a remarkable 150.75% increase in its trading volume over the last 24 hours, hitting $11.4 billion. In contrast, the aggregate daily transaction fees on the Ethereum network have plummeted to 1,719 ETH ($2.8 million) as of Sunday, marking the lowest point since December 26, as per CryptoQuant data. This represents an 89% reduction from the peak recorded this year on May 5.
Is it possible for the Bulls to keep their crown?
Closely examining Ethereum’s latest price fluctuations highlights a dominant upward trend on the daily chart. The 9-day exponential moving average (EMA), a key short-term indicator, is currently positioned at $1688, suggesting a sustained bullish outlook. At the moment, Ethereum is trading at $1715. The Relative Strength Index (RSI), a crucial momentum oscillator, is at 46, indicating a state of equilibrium.
If the SEC approves the Bitcoin ETF this coming Monday, it could trigger a significant surge in Ethereum’s price, potentially breaking through key Exponential Moving Averages (EMAs). This could also lead to a retest of the previously breached support trendline. Such positive momentum could drive the uptrend beyond the $2000 threshold, aiming for the previous swing high of $2140.
On the flip side, should the SEC postpone its decision, we could see Ethereum’s price retracting to the $1600 support level.
