Ethereum Rallies on SEC Decision, ETF Anticipation Fuels Optimism

• Ether (ETH) rose on June 19 following the SEC closing its probe into ETH 2.0.
• As per QCP, the developments in ETH ETF approval also pushed the ETH price.
• QCP expects Ether to break above $4,000 and move towards its ATH.

Ether (ETH), the native cryptocurrency of the Ethereum blockchain, has demonstrated positive momentum in its price action. According to QCP Capital, a leading digital asset trading firm based in Singapore, this optimism is reflected in the cryptocurrency’s upward price trajectory.

As highlighted by QCP in a Telegram message, ETH’s price on June 19 rebounded sharply from a morning low of $3,400, “with implied volatility notably increasing to 65% at the front end.” The firm cited two key factors for this sudden bullish momentum.

The primary factor is the U.S. Securities and Exchange Commission’s conclusion of its investigation into Ethereum 2.0, clearing it of any charges alleging that sales of ETH constitute securities transactions. The second is that applicants for spot ETH exchange-traded funds (ETFs) are “responding to SEC comments and aim to re-submit them this week.”

According to the Telegram post, QCP believes that Ether (ETH) could soon surpass the $4,000 price level and approach its 2021 all-time high of $4,800. QCP noted that the options market echoed this bullish move, “with the desk observing heavy buying activity of top-side calls,” adding:

“Despite uncertainty around the reception of the ETH ETF, capturing 10–20% of Bitcoin ETF flows could propel ETH above 4,000, nearing its peak of 4,800.”

Data from CoinMarketCap shows that ETH gained 0.55% in the past 24 hours and is currently trading at $3,576.51. Furthermore, the cryptocurrency’s trading volume has dropped by 30.14% and currently stands at $13.54 billion, with a market capitalization of $437.5 billion. The digital asset’s market dominance is 18.3%, second only to Bitcoin’s 54.1%.