Author: BitpushNews Mary Liu

Optimism continues to heat up, and the large shift in the attitude of the US SEC (SEC) towards the potential approval of Spot Ethereum ETF has excited encryption investors, pushing the market to continue to pump.

SEC staff told exchanges on Monday that they are inclined to approve the products and said that if the "pending issues" of the ETF application are resolved in a timely manner, approval could be as early as this week, Barron's reported, citing sources.

Reuters also reported that the SEC has asked the Nasdaq, Chicago Options exchange (CBOE) and New York Securities exchange (NYSE) to make updates and amendments to existing application documents before the upcoming deadline.

At press time, the Bitcoin was trading at $69,750, a 24-hour pump of 0.56%, and ETH was trading at $3,740, a 24-hour pump of 8.9%.

Stocks were also higher on Tuesday, with the Nasdaq and S&P 500 both hitting all-time highs. At the close, the S&P, Dow Jones, and Nasdaq were all pump, pump 0.25%, 0.17%, and 0.22%, respectively.

The alt market was buoyed by the positive development of Ethereum, with the top 200 tokens by market capitalization pumping on Tuesday. Ethereum Name Service (ENS) was the best performer with a pump of 29.3%, followed by SKALE (SKL) with a pump of 20.4% and Metis (METIS) with a pump of 16%. Reserve Rights (RSR) had the largest fall at 9.8% fall, Arweave (AR) fall 9.3% and Raydium (RAY) fall 7.7%.

The overall market capitalization of Crypto Assets is currently $2.57 trillion, with Bitcoin dominating 53.1%.

The issuance hastened to revise the proposal, and the opinions within the SEC are different

The deadline for the first round of Spot Ethereum ETF is approaching, with a deadline of May 23 for VanEck and May 24 for Ark Invest/21Shares.

At the time of writing, at least five Spot Ethereum ETF issuance, including Fidelity, Invesco/Galaxy, Ark/21Shares, and Franklinton, have submitted revised 19b-4 documents.

Pursuant to the amended Initial Power of Attorney, Grayscale has dropped its proposed stake in its proposed Spot Ethereum ETF conversion application, and other issuance have also removed stake provisions from their Spot Ethereum ETF applications. Earlier Tuesday, Fidelity revoked the possibility of staking rewards from its S-1 registration statement.

James Seyffart, an analyst at Bloomberg ETFs, said Grayscale's move was expected. In a post on X, Seyffart said: "It looks like Grayscale is removing the stake language from its file converting ETHE to an ETF. (This is/expected). ”

Bloomberg analyst James Seyffart said on the X platform: "There is still a long way to go before launch. But these documents prove that all the rumors, speculations and predictions are accurate, and we also need to actually look at all the SEC approvals for 19b-4, and then we need to look at the S-1 approvals, which could take weeks or more before the ETF launches."

According to The Block, citing sources, the SEC's trading and market division previously informed exchanges that they would approve 19b-4 this week, and the issuance responsible for the S-1 contacted the SEC, but scrutinists in the SEC's corporate finance department appeared to disagree with the agency's trading and markets department.

Notably, the SEC's Trading and Markets Division is responsible for reviewing 19b-4s, while the agency's corporate finance department is responsible for S-1s.

"They haven't even coordinated internally, which is why it's likely to be a political decision," said a person familiar with the matter. Sources say they won't be surprised if this becomes a campaign issue.

Referring to the agency's work to retract the 19b-4s review, the source said, "The work done by the SEC is equivalent to writing a term paper the night before the deadline."

Analysts are optimistic that Bitcoin will hit a new all-time high by the end of the week

Geoff Kendrick, head of forex research and digital asset research at Standard Chartered Bank, said in a note that this week's approval of Ethereum spot trading exchange-traded funds (ETF) will further legitimize the Crypto Assets sector, so it is also good for Bitcoin.

"I expect Bitcoin to hit a new all-time high by the end of the week, surpassing the $73,798 level on March 14," he said. ”

Kendrick added that the new optimism surrounding the possible approval of the Ethereum Spot ETF this week has given him more confidence in the Bitcoin price targets of $150,000 by the end of 2024 and $200,000 by the end of 2025.

Market analyst Bloodgood said: "Recently, it's been hard to have a week without outrageous attacks on Crypto Assets by Gensler, Warren and others, and the SEC unexpectedly asked for an accelerated update of documents that they wouldn't have done if they had already decided to reject them this week." So the likelihood of approval has risen dramatically, so this is definitely the headline to watch this week. ”

As for Bitcoin, Bloodgood noted that the upward pump continued after hitting local lows in early May, and BTC gained two significant resistance level breakouts after last week's lower-than-expected CPI data.

Bloodgood outlines three possible scenarios for the future:

(1) fakeout: It will be interesting to see if this breakout will continue, as if the result is fakeout, it is expected that the local lows will be retouched;

(2) Range: If the longest manage to hold the $69,000 level, and Bitcoin Fluctuation between this level and the current ATH, then the alt will have a chance;

(3) ATH Breakout: If the long manages to break above the ATH level, we will see more long money flowing to the Bitcoin, and the alts will slowly follow up and may approach $80,000.

"All three options are possible, and only time and charts will tell us which one will work," he said.