Markets React As US SEC Approves Spot Ethereum ETFs

Cryptocurrencies held steady on Monday following the United States Securities And Exchange Commission (SEC) approving several spot Ethereum ETFs. Meanwhile, Bitcoin (BTC) saw a modest 1% dip, settling around $67,359.39, while ETH experienced a 1.55% decline, closing at $3,483.31. Meme coins like Dogecoin (DOGE) also slipped by 1.64%, trading at $0.1387.

Greed Dominates

Bitcoin traded within the $67,000 to $68,000 range, while Ethereum faced selling pressure post-ETF approvals. Notable market movements included a significant $30 million Ether transfer to Binance, raising concerns of potential market impacts.

Liquidations also totaled over $105 million in the past 24 hours, wiping out nearly $75 million in long positions. The Open Interest for Ether grew marginally by 0.25%, indicating new short positions amid price declines, while the Open Interest for Bitcoin fell 1.11%, reflecting reduced long positions.

The Cryptocurrency Fear & Greed Index rose to 71, indicating increased market greed. Top gainers over the past 24 hours included Helium (HNT), up 4.18% to $5.10, cat in a dogs world (MEW) rising 3.63% to $0.007637, and XRP (XRP) gaining 2.16% to $0.6076. The global cryptocurrency market now stands at $2.44 trillion, down 1.44% in the last day.

Stocks React

In stocks, the S&P 500 rose 1.08% to close at 5,564.41, its best performance since early June, with the Nasdaq Composite climbing 1.58% to 18,007.57, and the Dow Jones Industrial Average adding 0.32% to reach 40,415.44. NVIDIA Corp. led the charge, gaining 4.76%. Major indices like the S&P 500 and Nasdaq Composite had their largest weekly declines since April last week.

Lastly, traders are now anticipating a 91% chance of the Fed cutting interest rates at the upcoming FOMC meeting, according to the CME FedWatch tool. Analysts noted potential market pullbacks following the approval of spot Ether ETFs but advised buying on dips, citing bullish signals on longer time frames.