SEC Ends Ethereum Investigation, Ether Aims for Historic High

Despite Ethereum’s (ETH) price struggling to break the psychological barrier of $4,000, an influential analyst remains optimistic about the second-largest cryptocurrency.

An anonymous cryptocurrency analyst from Credible Crypto suggests that after the U.S. Securities and Exchange Commission (SEC) officially ended its investigation into whether Ethereum qualifies as a security token, the outlook for Ether appears quite positive.

Can the SEC’s abandonment drive ETH to new highs?

On June 19, 2024, the SEC dropped its inquiry into Ethereum 2.0 without filing any charges, surprising the cryptocurrency industry.

Reports indicate that recent approvals of certain spot Ethereum exchange-traded fund (ETF) applications prompted Consensys to urge the SEC to clarify Ether’s security status. Subsequently, the SEC made a decision, classifying ETH as a commodity based on the Howey investment contract test, rather than a security.

The SEC’s approval of Ethereum not only temporarily alleviates uncertainty surrounding its classification but also brings a glimmer of hope amid a turbulent regulatory environment.

Additionally, Credible Crypto believes that the regulatory exit could act as a bullish catalyst, potentially driving Ether to an all-time high. “The SEC abandoning ETH might be the final nail in the bear market’s coffin,” says Credible Crypto.

Cryptocurrency traders argue that the likelihood of Ethereum dropping below $1,600 is quite low, given that strong support lies between $2,800 and $3,430.

Bloomberg ETF analyst Eric Balchunas suggests that institutional inflows into the first U.S.-listed spot ETH ETF could further boost Ether’s price trajectory. These ETFs are expected to debut on exchanges by July 2, 2024.

By the end of 2024, Ether’s price is projected to surpass $10,000.

Meanwhile, technical cryptocurrency analyst Yoddha highlights Ethereum’s current price position on the candlestick chart, noting a consolidation phase following the formation of a morning star pattern. This indicates a bullish reversal from the bottom of the downtrend.

Yoddha speculates, “Ethereum’s price is holding up quite well, and it looks poised for a crazy rally.” “Remember my words: by the end of this year, Ethereum’s price will exceed $10,000,” adds Yoddha.

Sentiment: Positive