Bitcoin (BTC) is rising by 6.0% to $70,000
this week, slightly retreating from a high of $72,070 on May 21. With the
all-time high of $73,864 within reach, BTC could update this record soon. The
market gained upward momentum from the U.S. Securities and Exchange Commission
(SEC), which has requested ether exchange-traded fund (ETF) exchanges to update
their ETF filings. The SEC is set to decide on the approval of the first spot
ETH-ETFs, filed by VanEck and ARK, this Thursday and Friday. Bets on approval surged
to 75% on Polymarket following this news, similar to the process before the
approval of spot BTC-ETFs.
Investors are optimistic about the approval of
spot ETH-ETFs, with ether prices surging by 25.2% to $3,860 in the last two
days. Some investors took profits during this rally, as reported by Nansen
Intelligence, which noted the largest inflows of ETH on crypto exchanges since
January 23. A similar record inflow was observed in March at peak prices. Some
investors have moved to Polymarket to bet on the SEC approval of the spot
ETH-ETF by May 31, with contracts potentially bringing 50% profit on a positive
decision and 200% if the approval is not issued by the deadline.
Speculations around Ether have helped Bitcoin
climb above the support range of $68,000-70,000, paving the way for BTC to
potentially rise towards $78,000 per coin. There are additional reasons for BTC
to rally. The Trump presidential campaign began accepting crypto donations this
week, a move that could attract crypto enthusiasts' support after the former
president declared himself as a pro-crypto candidate. The SEC's actions towards
ETH-ETF approval could be influenced by the Biden Administration's efforts to
soften its anti-crypto stance, with political battles over crypto-enthusiast votes
benefiting the industry.
Investors are also awaiting the Q1 2024 report
from Nvidia (NVDA), scheduled for release on May 22. Nvidia, closely related to
the crypto industry, is projected by Wall Street analysts to have a revenue
increase of 243% YoY. If this forecast is met, it could provide a significant
boost to both stocks and crypto assets.