The cryptocurrency market once again demonstrated its remarkable sensitivity to regulatory movements in the United States over the past 24 hours, particularly following the SEC’s approval of Ethereum ETFs. This news initially led to a surge in prices, followed by a significant decline in major digital currencies such as Ethereum and Bitcoin.
After a relatively stable start to the week, Bitcoin (BTC) was hovering around $67,000. However, this calm was short-lived. Speculation about the imminent approval of an Ethereum spot ETF by the SEC caused the price of BTC to skyrocket to nearly $72,000, a level not seen in almost two months. Despite this initial increase, Bitcoin experienced a reversal of fortunes, falling below $68,000 just before the government’s decision, which occurred right before the deadline.
The regulator’s final decision, approving eight Ethereum ETFs, brought further fluctuations to the market. Bitcoin, for instance, briefly reached $66,400 before quickly rising by two thousand dollars. However, it failed to sustain this growth and fell once again, struggling to stay above $67,000. Its market value dropped to $1.31 trillion, with a dominance over altcoins of 50.2%.
Altcoins were also not spared from the turmoil. Ethereum (ETH), after an initial surge of over 20% to reach $3,900, experienced significant volatility before and after the SEC’s ETF approval. By the end of the period, ETH recorded a 4% drop, trading at $3,655.
Other major altcoins also saw declines. Solana, Dogecoin, Toncoin, Cardano, Avalanche, Polkadot, and Shiba Inu all experienced reductions of 5% to 8% in their values. BNB, XRP, TRX, and BCH also performed negatively.
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