SEC’s rumored rejection of Ethereum ETFs prompts uncertainty in the market.
Despite bullish trends, Ethereum sees significant outflows from exchanges.
Ethereum has emerged as a focal point of discussion in the cryptocurrency community, with traders closely monitoring reports surrounding the SEC’s rumored plans to reject spot EthereumETF proposals in May. Despite optimism stemming from the approval of spot Bitcoin ETFs in January 2024 and the excitement surrounding the BTC halving in April, uncertainty looms over the fate of Ethereum and other altcoins.
Traders are grappling with the potential implications of the SEC’s stance on Ethereum ETFs, which could significantly impact ETH. While hopes for a rally persist, recent indications suggest that approval may not be imminent, leading to a rise in bearish sentiment among traders.
What’s Further?
Against this backdrop, Ethereum has witnessed significant outflows from exchanges even as its price surged above the $3,000 mark, signaling investor confidence in further price appreciation. Notably, Titan of Crypto, a prominent analyst, highlighted the substantial outflow of over 260,000 ETH, equivalent to more than $781 million, from exchanges within the past week.
Furthermore, notable figures like Justin Sun have been accumulating ETH, with recent data indicating significant withdrawals from exchanges.
Analysis suggests that Ethereum’s net deposit on exchanges has increased compared to the previous seven days, indicating a shift towards selling among investors. However, whale accumulation of Ethereum has remained unaffected, as evidenced by the continued rise in ETH’s supply held by top addresses.
At present, ETH is trading at $3,147.75 with a 0.45% drop and the trading volume is down 4.07%.