Second quarter has been very optimistic for Ethereum but SEC could ruin this trajectory

The second quarter has been very optimistic for the second largest cryptocurrency on the market, Ethereum (ETH), but the Securities and Exchange Commission (SEC) could ruin this trajectory and throw cold water on ETH enthusiasts, according to the renowned cryptocurrency analyst, Ali Martinez.

In a shared analysis on April 1, the analyst highlighted that the regulator will likely continue to delay approval of an Ethereum spot exchange-traded fund (ETF), potentially causing market turmoil.

“Q2 has historically been very bullish for $ETH! However, we must consider the high probability that the SEC will delay the approval of an Ethereum spot ETF, which could cause market turmoil,” the analyst wrote.

Q2 has historically been very bullish for $ETH!

However, we must consider the high probability that the @SECGov will delay the approval of a spot #Ethereum ETF, which may cause turbulence in the market. pic.twitter.com/TlZ3KZhr4e

— Ali (@ali_charts) April 1, 2024

The US SEC has postponed its decisions on Ethereum ETFs until the end of May, prolonging the expectation of a verdict. This delay in approval reflects the SEC’s caution in introducing cryptocurrencies into mainstream financial products, indicating both the challenges and potential of this integration.

Ethereum Recovery

Ethereum has managed a considerable price recovery in recent days. Cryptocurrency analytics platform Santiment highlighted the notable jump in the price of ETH recently.

“Ethereum jumped this weekend, recovering above $3,600 after falling as much as -25% between March 11th and March 19th. The amount of $ETH addresses holding coins is up to All Time High 118.23K, and the medium-term MVRV has a very smooth bullish signal.”

However, the price of ETH fell in the last day. At the time of publication, the price of Ethereum was quoted at US$3,510.48, up 3.1% in the last 24 hours.

Disclaimer:

The views and opinions expressed by the author, or anyone mentioned in this article, are for informational purposes only and do not constitute financial, investment or other advice. Investing or trading cryptocurrencies carries a risk of financial loss.