According to Bloomberg, Ether, the second-largest digital asset, traded at approximately $3,678 as of 9:40 a.m. on Tuesday in Singapore, maintaining most of an 8.5% increase from US hours. Ether's 61% gain since the start of the year is nearing that of the market leader. There has been speculation about Ether ETF issuers meeting with the SEC, which reluctantly agreed to US spot-Bitcoin ETFs in January following a court reversal last year.
Traders are considering the potential for an Ether rally if the SEC approves ETFs that directly hold the token. Investment giants are also keeping a close eye on this development. While Bitcoin is recognized as a commodity, the SEC contends that most other tokens are effectively unregistered securities, leading to widespread non-compliance in the digital-asset sector. If Ether were explicitly identified as an unregistered security, it would pose numerous challenges to the launch of an ETF.
The SEC's approval of spot-Bitcoin portfolios also depended on the correlation between CME Bitcoin futures and price movements in the digital asset itself, which was deemed sufficient to detect fraud and manipulation. Bloomberg Intelligence ETF analysts are closely monitoring these developments.