Bitcoin, Ether in Stasis as SEC ETF Decision Looms, Nvidia Hits Record High

According to CoinDesk’s latest data, Bitcoin, the largest cryptocurrency by market capitalization, remained relatively unchanged around $69,500. Ether, the second-largest cryptocurrency, also maintained its position near $3,700.

Despite the technical analysis and market positioning, there’s a bullish sentiment towards cryptocurrencies. Both Bitcoin and Ethereum have held steady positions above their respective Ichimoku cloud lines, which is a bullish sign. Analyst Josh Olszewicz shares this optimistic view on X. More confirmation comes from Deribit, the derivatives exchange, where options for Bitcoin and Ethereality continue to favor call options – these are contracts that generate profits when prices increase, as per Amberdata’s data.

It’s plausible that the optimistic outlook towards Ether ETFs stems from heightened belief that the Securities and Exchange Commission (SEC) will give its approval, thereby fueling a surge in demand for cryptocurrencies.

According to Markus Thielen, the founder of 10x Research, there’s a strong possibility that the SEC will give the green light to Ethereum-based ETFs on U.S. markets today. This announcement could be made as early as 9 a.m. ET, following a recent tweet from SEC Chairman Gary Gensler reminding crypto investors of the importance of assessing risks before investing. However, no definitive confirmation has been given yet.

As a crypto investor, I’ve noticed that the price discrepancy between the Grayscale Ethereum Trust and its net asset value has significantly decreased in the past week. This narrowed discount now stands at around 8%, which in my analysis suggests a strong likelihood – approximately 90% probability – of an Ethereum ETF being approved soon.

Based on reports surfacing earlier this week, the SEC has requested modifications and recent information from applicants seeking to launch a spot ether Exchange-Traded Fund (ETF), suggesting a possible approval in the future.

If ether ETFs receive approval, this could indicate a significant shift in the regulatory stance towards the crypto industry. Furthermore, it seems that the opposition towards FIT21 may not be as intense as previously anticipated. (Noelle Acheson’s statement regarding the Financial Innovation and Technology for the 21st Century Act)

On Wednesday, the U.S. House of Representatives approved legislation that aims to clarify whether cryptocurrencies should be classified as commodities or securities. If deemed securities, the Securities and Exchange Commission (SEC) would exercise extensive regulatory control. The bill is also projected to designate the Commodity Futures Trading Commission (CFTC) as a significant regulator for digital assets in conjunction with the SEC.

As a researcher following this legislative process, I can share that the bill has advanced to the Senate for consideration next. However, its outcome in the upper chamber remains uncertain. Should it pass through the Senate, there’s still a possibility that President Joe Biden might choose to veto it.

NVDA hits record high

During the after-hours trading session on Wednesday, the stock price of Nasdaq-listed Nvidia (NVDA) hit a new peak. This came after the tech giant announced it had surpassed analyst predictions, posting a historic first-quarter revenue of $26.04 billion.