Asset management firm Fidelity has applied for an Ethereum exchange-traded fund (ETF) with the US Securities and Exchanges Commission (SEC). Experts have suggested that the filing could spur ETH on a bull run.
According to Fidelity, investors in the United States do not have a regulated avenue to expose themselves to Ethereum. Thus, it proposed to list and trade its planned Ethereum ETF shares on the Cboe BZX Exchange
Ethereum ETF May Shake Up the Market
The move by Fidelity into the Ethereum ETF space is anticipated to potentially stimulate a bullish market trend for the price of ETH, given recent market dynamics. Notably, the SEC has recently reviewed multiple applications for a spot Bitcoin ETF from major traditional financial institutions like BlackRock.
This development subsequently boosted the price of BTC to new yearly highs amidst the ensuing market optimism. Still, the SEC announced it will delay its decision on multiple spot Bitcoin ETF applications to 2024.
Read more: How To Prepare for a Bitcoin ETF: A Step-by-Step Approach
Spot crypto ETFs are investment vehicles that track the underlying asset’s price, enabling investors to gain exposure without direct ownership. Analysts suggest such offerings could provide easier entry into the crypto market.
With Fidelity ranking as the world’s third-largest asset manager, overseeing $4.2 trillion in assets under management, its involvement may generate increased interest in Ethereum.
ETH Price to Present Buying Opportunity
In light of this, market experts highlight the potential for a positive trajectory for ETH, especially as several major financial institutions have applied for spot Ethereum ETF offerings.
“You’ve got a fortunate chance to snag some ETH under $2,000 while it’s available. This opportunity won’t be around for much longer,” an experienced crypto analyst said.
Read more: 7 Must-Have Cryptocurrencies for Your Portfolio Before the Next Bull Run
Likewise, BeInCrypto’s Global Head of News, Ali Martinez, highlighted the bullish potential Ethereum might have once it clears the $2,150 resistance level. Martinez pointed out that any downswing toward $1,700 may be a unique buying opportunity before the uptrend resumes.
“ETH tests a major resistance zone between $2,000 and $2,150, aligning with the x-axis of an ascending triangle pattern. A pullback from this resistance level could lead to a dip toward the triangle’s hypotenuse at $1,700, setting the stage for a potential uptrend continuation,” Martinez stated.
Data from BeInCrypto shows that Ethereum was trading for $1,966 as of press time, up nearly 2% in the last 24 hours.
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