Ethereum ETF approval: THIS. IS. HUGE.

What an exhilarating few weeks in the crypto world!

The sentiment is well and truly shifting, and the bullish vibes are coming back in. Could we be on the verge of an exciting phase of the crypto cycle? It sure feels like it.

Over the next two emails, I’ll be looking at some exciting news events and what they mean for crypto investors.

Let’s jump in. 

Major Ethereum news

On 23rd May (US time), the SEC approved 8 spot Ethereum ETFs, allowing some of the world’s biggest financial firms to offer Ethereum in their product lineup. While trading isn’t starting just yet, this green light from the SEC is the first big step. There are a few more regulatory hurdles to clear, but this is incredibly bullish news and a huge win for crypto because, as we know, ETFs are a massive catalyst for mainstream crypto adoption.

Given the SEC’s hostile stance toward the crypto industry, many feared these ETFs wouldn’t be approved anytime soon. Ethereum’s price reflected this, trending downward since March 2024. But what happened around approval time? We saw the price of Ethereum shoot up by almost 30%!

The sentiment shift 

What’s interesting about this positive correction is that it occurred BEFORE the ETFs were officially approved.

So what caused it? A simple change in sentiment.

A few rumors filtering through the grapevine was all it took to flip the mood from negative to positive and lead a price surge and positive momentum for other altcoins— all in just 2 days.

This is a perfect example of how much human emotion drives the market!

What does this mean for the bull run? 

For the full-blown bull run where altcoins skyrocket, Ethereum needs to start outperforming Bitcoin. So far, we’ve seen a nice run for Ethereum, but Bitcoin is still dominating. This is the time to keep an eye on prices, continue to accumulate if you have the capital, and prepare for the next phase.

Ethereum will soon be exposed to a whole new audience of cashed up investors. If the Ethereum ETFs attract even a fraction of the trading volume that Bitcoin ETFs have seen, we’re in for an electrifying ride. Ethereum has lower liquidity than Bitcoin, so it has the opportunity to pump that much harder and flow onto other altcoins, particularly those connected to Ethereum.

So as you can see, this sets the stage for an upcoming bullish market phase, aligning perfectly with the 12-18 month cycle following a Bitcoin halving event. It’s an exciting time to be in crypto, and it looks like we’re right on track!