BTC is currently trading around $67,800 and ETH around $3,700. Notable gainers in the last 24 hours are ONDO, LDO, and LINK. The global crypto market cap is $2.66T, down 0.4% over the last day. DeFi Total Value Locked is ~$105b and BTC dominance is around 54%.
In a historic move, the SEC approved pivotal 19b-4 filings for the spot Ethereum ETF applicants, putting the products squarely on the road to launch. While the SEC must still approve S-1 registration statements in order for the products to go live, some analysts believe this could occur in two weeks, though others have suggested it will more likely take a few months. Nevertheless, the approval marks a stunning turn of events for something that was considered a long shot just a week ago. In addition and per legal experts, the approvals as commodity-based trust shares implies that the SEC explicitly recognizes that ETH is not a security. And most importantly, the spot Ethereum ETFs will ease access to ETH, continue to legitimize crypto as an asset class, and is due to and accompanied by a changing stance towards crypto by the US.
Despite the monumental approval, crypto markets are flat over the last day. While some suggest its due to the ETF approval being a “sell-the-news” event or the fact that the ETFs won’t launch soon, much is also likely due to weakness in the global equity markets, where most major global indexes were down yesterday. One point of consternation was the Fed’s meeting minutes, where officials expressed concern around the lack of progress on inflation. This, combined with continued strong economic data, is raising fears that Fed rate cuts may be pushed out.
Notable news includes: The US House passed a bill that would prohibit the Treasury from creating a CBDC without explicit authorization from Congress, with the bill expressing concerns that the government could use a digital dollar as a “surveillance tool”; reports suggest Congress did not send the measure overturning SAB121, the SEC’s controversial crypto custody policy, to the White House until Wednesday, pushing back the 10 day window for Biden’s promised veto to June 3; the Spot Bitcoin ETFs saw their ninth straight day of inflows; ETH’s supply has grown by 62,000 since ETH flipped inflationary on April 14; decentralized derivatives exchange Zeta Markets unveiled a Solana-based L2 app chain called ZX; and, Kabosu, the face of the iconic Doge meme, passed away.
Sign up to conveniently receive GSR crypto content in your inbox.
Author:
Brian Rudick, Senior Strategist | Twitter, Telegram, LinkedIn
This material is provided by GSR (the “Firm”) solely for informational purposes, is intended only for sophisticated, institutional investors and does not constitute an offer or commitment, a solicitation of an offer or commitment, or any advice or recommendation, to enter into or conclude any transaction (whether on the terms shown or otherwise), or to provide investment services in any state or country where such an offer or solicitation or provision would be illegal. The Firm is not and does not act as an advisor or fiduciary in providing this material. GSR is not authorised or regulated in the UK by the Financial Conduct Authority. The protections provided by the UK regulatory system will not be available to you. Specifically, information provided herein is intended for institutional persons only and is not suitable for retail persons in the United Kingdom, and no solicitation or recommendation is being made to you in regards to any products or services.
This material is not a research report, and not subject to any of the independence and disclosure standards applicable to research reports prepared pursuant to FINRA or CFTC research rules. This material is not independent of the Firm’s proprietary interests, which may conflict with the interests of any counterparty of the Firm. The Firm trades instruments discussed in this material for its own account, may trade contrary to the views expressed in this material, and may have positions in other related instruments.
Information contained herein is based on sources considered to be reliable, but is not guaranteed to be accurate or complete. Any opinions or estimates expressed herein reflect a judgment made by the author(s) as of the date of publication, and are subject to change without notice. Trading and investing in digital assets involves significant risks including price volatility and illiquidity and may not be suitable for all investors. The Firm is not liable whatsoever for any direct or consequential loss arising from the use of this material. Copyright of this material belongs to GSR. Neither this material nor any copy thereof may be taken, reproduced or redistributed, directly or indirectly, without prior written permission of GSR.
