Cryptocurrencies gain as investors turn optimistic on ether ETFs
Business
Cryptocurrencies gain as investors turn optimistic on ether ETFs
LONDON (Reuters) - Ether was set for its largest two-day gain in nearly two years on Tuesday amid speculation about the outcome of applications for U.S. spot exchange-traded funds that track the world's second-biggest cryptocurrency, while bitcoin also approached a record high.
Ether , which underpins the ethereum blockchain network, was 8% higher on the day at $3,775, its highest in two months, after jumping 13.8% on Monday.
Top cryptocurrency bitcoin was last up 2.2% at $71,000, around 4% shy of its March peak of $73,803.25.
The U.S. markets watchdog will give its ruling on some spot ether ETF applications this week. Analysts and investors said Tuesday's jump was a result of unconfirmed talk that the U.S. Securities and Exchange Commission might approve these products, after investors had previously thought they would be rejected.
Bitcoin rallied sharply earlier this year after the SEC gave approval to several spot bitcoin ETFs, which have seen billions of dollars in inflows.
"Outright approval is a long shot, but any guidance on a pathway to eventual acceptance would be a big step forward."
Joseph Edwards, head of research at Enigma Securities, cited reports saying the SEC had asked exchanges that would list the ether ETF to update their filings and separate Bloomberg ETF research that showed analysts have raised their informal probabilities of approval.
