Investing.com– Bitcoin price rose sharply on Tuesday, tracking Ether's rally after a media report noted some progress toward approving spot Ether exchange-traded funds for US markets.
The price rose 5.8% in the last 24 hours to $70,987.1 at 01:08 CET (05:08 GMT).
But the world's No. 2 token was the top performer on Tuesday, rising 17% to a one-and-a-half-month high of $3,656.01.
Ether surges as report says SEC asks ETF applicants to update key filings
A report from Coindesk showed that the US Securities and Exchange Commission asked spot Ether ETF applicants to update some key filings, ahead of a key deadline for approval of the funds later this Thursday. .
While the report said there was still no guarantee the regulator would approve ETFs, it did mark some progress toward eventual approval.
Bloomberg analysts Eric Balchunas and James Seyffart updated their expectations for the timely approval of an Ether ETF to a 75% probability from 25%, citing the Coindesk report and stating that the SEC could be “doing a 180.” ” in a possible approval.
The SEC was seen as largely averse to a spot Ether ETF, especially as recent reports said the regulator was also taking action against the Foundation over the potential nature of Ether as a security.
But a one-time approval of an ETF could trigger a similar rally in Ether as it did with Bitcoin in early 2024, where the token hit a record high due to increased capital inflows as institutional investors flocked to ETFs.
Crypto Price Today: Bitcoin Capital Flows Improve Amid Rate Speculation
Data from digital asset manager CoinShares on Monday showed that crypto investment products saw a second straight week of capital inflows, as some weak readings on US inflation raised bets that the Federal Reserve will cut interest rates this year. .
Total capital inflows amounted to $932 million in the week to May 20, with Bitcoin continuing to dominate capital flows. Still, overall trading volumes remained well below the peaks seen following spot Bitcoin ETF approvals in February and March.
Altcoins rose, following gains in Ether. rose 3.6%, while it added 3.7%.
Meme and tokens added 6.6% and 4.7%, respectively.
