Impact Analysis of New SEC-Approved Ethereum Spot ETFs by Cryptoquant
On July 23, 2024, the U.S. Securities and Exchange Commission approved several ethereum (ETH) spot exchange-traded funds (ETFs), marking a significant shift in the cryptocurrency market.
Cryptoquant’s latest report examines the implications of this approval, noting that these ETFs provide regulated investment products directly tracking ethereum’s price. The report highlights key factors such as ethereum’s rising total supply post-April 2024’s Dencun upgrade and a lower ETH multiplier effect compared to bitcoin. Despite this, the amount of staked ETH has reached a record high, reducing selling pressure.
Cryptoquant also observes that while ETH’s liquidity on centralized exchanges typically averages 85% of bitcoin’s, it surged to 1.6 times bitcoin’s volume following the ETF approval, suggesting positive future momentum for ethereum.
Clever Robot News Desk 25th July 2024
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