Ethereum Spot ETF Awaits Approval by End of May -

The United States SEC has postponed its decision on whether to approve Ethereum Spot ETF applications from all filers, including Hashdex Nasdaq Ethereum ETF, VanEck Ethereum ETF, and Grayscale Ether Futures ETF, until late May.

Fortune reports that the U.S. SEC has subpoenaed several companies in the United States to provide information regarding transactions related to the Ethereum Foundation. The Foundation has indicated that this may be in response to the SEC’s suspicion that Ethereum could be classified as a security after transitioning from POW to POS in 2022.

Bloomberg ETF analysts anticipate a likely rejection of the Ethereum Spot ETF by the end of May, citing slower progress compared to the Bitcoin Spot ETF approval process during the same period. However, there remains a possibility of approval in the future.

Fidelity has amended its application for the Ethereum Spot ETF by incorporating staking, specifying it as income to the fund from providing participatory services within the blockchain.

Grayscale Investments is preparing to include staking in its application for the establishment of an Ethereum Spot ETF to enhance returns and make it comparable to similar investment products.

Coinshare reports that investment inflows into Bitcoin investment products in the United States surged by $2.9 billion in the past week, shattering the previous week’s record. The Bitcoin Spot ETF accounted for over 97% of the total inflows.

Standard Chartered Bank predicts that the price of Bitcoin will reach $150,000 within the year 2024, up from the previous estimate of $100,000 made at the end of last year. Additionally, they specify that Bitcoin could touch $200,000 by 2025, supported by Bitcoin ETFs and the halving.

BlackRock has applied to the U.S. SEC to launch the BlackRock USD Institutional Digital Liquidity Fund. This is the first tokenized asset fund offered by Securitize, a leading digital asset securities firm in the US. The fund requires a minimum investment of $100,000.

Solana blockchain has emerged as the most popular this year, according to Coingecko research, capturing a 49.3% share of global cryptocurrency investors. This popularity aligns with the continuous upward trend of SOL coin prices.

Alipay partners with Avalanche to launch a Web3-based digital coupon program for bubble tea shops across Southeast Asia, totaling 500 locations. This initiative allows consumers to earn rewards from playing mini-games and receive digital coupons directly in their wallets.

Square Enix, the Japanese game company, collaborates with HyperPlay to develop the HyperPlay game store, aiming to become a leading platform for Web3-based gaming in the new technological era.

Grab partners with the payments company Triple-A to announce support for digital currency payments in Singapore. The supported cryptocurrencies include BTC, ETH, USDT, USDC, and XSGD.

Weekly Technical Analysis: 26 March – 1 April 2024

Bitcoin (BTC)

BTC rebounds from its low point at 2,200,000 baht, potentially establishing this level as support. However, a breach of this level warrants caution, as prices may dip below 2,200,000 baht. Surpassing the initial resistance at 2,550,000 baht could lead to a retest of the previous high at 2,640,000.

Support : 2,200,000 THB Resistance : 2,640,000 THB

Support : 62,000 USD Resistance : 74,000 USD

Ethereum (ETH)

ETH shows signs of recovery, marking a new upward trend from its recent low point, suggesting a potential return to retest its previous high. In the short term, attention is drawn to the resistance at 131,000 baht. A successful breach may lead to revisiting 145,000 baht. However, in case of a downward adjustment, watch out for the support at 115,000 baht.

Support : 115,000 THB Resistance : 145,000 THB

Support : 3,100 USD Resistance : 4,100 USD

LUNA (LUNA)

LUNA has surged by 45.71% over the past week, yet it appears to be merely a profit-taking rally as fundamentals remain unconfirmed. Caution is advised around the resistance at 38 baht, as failure to breach it may trigger strong selling pressure. Short-term profit targets remain at the previous high of 56 baht, suggesting it’s not yet time to consider long-term holdings.

Support : 38 THB Resistance : 56 THB

Support : 1.04 USD Resistance : 1.54 USD

Fantom (FTM)

FTM has surged by 34.88% over the past week, maintaining a consistent upward trend. The suggested strategy is to buy on dip. The initial support lies at 36 baht, with the first profit-taking point at 50 baht. Alternatively, it’s viable for long-term investment.

Support : 36 THB Resistance : 50 THB

Support : 0.99 USD Resistance : 1.37 USD

Trading and Investment Considerations For The Week

Over the past week, Grayscale’s GBTC fund experienced continuous outflows, marking the highest outflow since its inception. Meanwhile, the leading Bitcoin ETFs, Blackrock and Fidelity, saw reduced inflows, contributing to a downward adjustment in Bitcoin prices.

The Federal Reserve’s monetary policy committee kept interest rates unchanged. However, there are plans to continue further interest rate reductions this year, leading to a depreciation of the dollar and gold prices reaching new highs. This is expected to have a slightly positive impact on Bitcoin prices.

The downside of Bitcoin is expected to be limited. Although there is a chance it could dip below $60,000, there should be buying pressure coming in. It’s possible that Bitcoin may consolidate before renewed buying interest comes closer to the halving, estimated at around April 20th.

On Thursday, March 28th, the announcement of the U.S. economic figures for the fourth quarter of the previous year is expected. The market anticipates it to be at 3.2%, a decrease from the previous quarter’s 4.9%. If the numbers come out as expected, it could bode well for the market, as a slowing economy may pressure the Federal Reserve to consider interest rate cuts sooner.

Reference:

https://www.theblock.co/post/283519/sec-delays-making-a-decision-on-the-hashdex-and-ark-21shares-ethereum-etfs

https://cointelegraph.com/news/sec-ether-security-classification

https://cointelegraph.com/news/umoja-seed-round-democratize-wealth-creation

https://www.theblock.co/post/283233/fidelity-amends-spot-ethereum-etf-to-include-staking

https://cointelegraph.com/news/us-bitcoin-spot-etfs-see-another-record-inflow

https://www.theblock.co/post/283263/southeast-asia-super-app-grab-offers-crypto-payment-options-in-singapore

https://cointelegraph.com/news/blackrock-begins-asset-tokenization-launch-digital-liquidity-fund

https://cointelegraph.com/news/square-enix-invests-web3-nft-gaming-platform-hyper-play

https://www.theblock.co/post/283542/following-fidelitys-lead-grayscale-looks-to-add-staking-for-its-proposed-ethereum-etf

https://cointelegraph.com/news/alipay-web3-powered-voucher-program-avalanche

https://www.theblock.co/post/283925/solana-declared-most-popular-blockchain-so-far-this-year-by-coingecko-research