Ethereum (ETH) falls below $3,500 even as spot Ether ETFs are predicted to launch on July 2nd, according to Bloomberg’s ETF analyst Eric Balchunas.
Ethereum has dropped 1. 5% in the past day, now trading at $3,496 as of 06:6 AM EST.
Ethereum Price Falls to Below $3,500 Due to Market Swings
Decreased price below $3,500 corresponds to raising trading volumes by 30%, signaling selling pressure.
After the price fall, data from Coinglass shows $11 million in long positions were closed out, and Ethereum’s open interest crossed $15 billion.
Large open interest indicates many opened options contracts, increasing the attention to the ETH price due to its speculative nature.
ETH’s price swings are likely to persist until the debut of the ETF, including different outlooks about how it will copy Bitcoin after the ETF price surge.
According to JPMorgan analysts, ETH ETFs were expected to garner inflows averaging between $1 billion to $3 billion per month, far below Bitcoin’s average of $15 billion.
Invest in Ether ETFs That Are Expected to be Launched Within Two Weeks
Balchunas tweeted about the SEC’s active interaction with ETH ETF applicants and the final approval activities taking place.
Eight Ether ETF applicants received feedback on S-1 registration statements from the SEC last week, for which responses were expected within a week, and the possibility of the launch date being 2 July was established.
He also pointed out that if the estimates are accurate and the ETFs pass the final process on 2nd July, then trading should begin on 3rd July.
Balchunas’ forecast comes after SEC Chair Gary Gensler said approvals of S-1s will happen “over the course of this summer.
When questioned about ETF stagnation in a US Senate hearing discussing SEC budgets, Gensler said issuers were moving through registration statements.
