Ethereum’s price has remained steady recently, trading at $3,455 on Friday. This comes as the possibility of spot Ethereum ETF approvals increases. The token is in a correction phase, down 13% from its peak this month.
The key driver for Ethereum is the expected approval of spot Ethereum ETFs by the SEC. VanEck’s filing of form 8-A is a significant step in this process, with analyst Eric Balchunas predicting that trading could start on July 2nd.
The approval of spot Ethereum ETFs would be significant, given the strong demand for cryptocurrencies from institutional investors. The Grayscale Ethereum Trust already has over $10 billion in assets, indicating potential demand for lower-priced funds from both retail and institutional investors.
Ethereum’s ecosystem remains robust, with over $108.95 billion in total value locked and significant stablecoin holdings. The network has also collected substantial fees, outperforming Tron and Bitcoin combined.
Analysts are optimistic about Ethereum’s future, with indicators pointing to a bullish breakout. Factors such as rising open interest in the futures market and Ethereum’s deflationary nature are seen as positive signs. Analysts expect a jump in price post-ETF approval, followed by consolidation and a return to a bullish trend.
Overall, market sentiment is positive for Ethereum, with technical analysis pointing towards a potential breakout in the near future.