The cryptocurrency industry was ignited by Ethereum’s recent 8% spike, which was its biggest increase in over a month.
Ethereum outperformed other significant crypto assets, including Bitcoin, during the current increase.
BeinCrypto claims that the current spike in Ethereum prices is due to conjecture on possible US exchange-traded funds (ETFs) for Ethereum, which has sparked a lot of debate among the cryptocurrency community.
With its current price of $3,680, Ethereum has gained 62% year to far, following only Bitcoin’s 68% increase.
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Recently, backers of the spot Ethereum ETFs have reportedly engaged with the United States Securities and Exchange Commission feeling optimistic about the opportunity after the US SEC approved a spot Bitcoin ETFs in January, attracting over $59 billion in assets to the ETF.
Ethereum’s overall performance has led a speculation of the crypto asset ETFs being backed by financial heavyweights like Blackrock and Fidelity investments. However, the SEC final go-ahead remains uncertain.
In other news, Significant acquisition of Ethereum by crypto whales have been reported recently. Before the surge, over $35 million in ETH has been acquired by crypto whales, pushing the price above $3,400 on Monday.
Taking advantage of the Surge, Alameda Research, tied to the defunct FTX, has been very active in the Ethereum market.
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Reports from Spot on Chain indicate a notable 4,000 ETH ($14.75 million) deposit by Alameda to Coinbase, the largest since a major rally in February.
The transfer to a centralized exchange like Coinbase indicates that the crypto firm has intentions to sell Ethereum.
Alameda Research’s wallets still retain substantial Ethereum assets, with $64 million in Wrapped ETH (WETH) and ETH.
According to experts, the large deposit by Alameda Research poses a complex situation for Ethereum. The deposit happened in a critical period with impending regulatory approvals and market movements set to significantly determine Ethereum’s trajectory.
