Spot Ethereum ETFs Approved, Bulls Must Keep ETH Above $3,700: Here’s why

Ethereum is firm at spot rates, impressively trading above $3,700 at press time. Yesterday, there was a rejection following the printing of the long upper wick. Usually, this means that there was liquidation from peaks, and prices closed much lower. Even so, since the bar ended up green, prices might spring back stronger in the days ahead. For now, $4,100 is a key line to watch.

As mentioned earlier, the coin ended up in green. However, gains aren’t as impressive. To quantify, Ethereum is stable on the last day but up 26% in the previous week. Going forward, bulls must press on. If they do and Ethereum prices expand, participation will also follow suit. So far, it stands at over $46 billion in the past trading day. 

Ethereum bulls are upbeat at press time. Excitement is primarily because of the following events:

• One researcher thinks that even after the United States SEC approved spot Ethereum ETFs yesterday, the level of “retail Degen” won’t be the same as when spot BTC ETFs launched. Instead, the amendments in the SAB 121 bulletin and the passing of FIT21 represent huge gains for proof-of-stake systems like ETH.
• The co-founder of Coinbase also thinks crypto will continue to find tailwinds in the years ahead, primarily because of demographic changes. Old politicians are against the technology, while crypto ownership is mostly concentrated among the young.

Ethereum Price Analysis

ETH/USD is trading at around new Q2 2024 levels at press time.

Even so, for the uptrend to take shape, $3,700 must hold. Confidence following spot Ethereum ETFs will likely provide the necessary upthrust for the coin.

Yesterday, there was a brief correction below $3,800. Since bulls are in control and bull bars are banding along the upper BB, every low may offer entries for dips, targeting $4,100.

This will only change if there is a sharp drop below $3,700, pushing prices to as low as $3,300—a key support level. This move will invalidate the bullish outlook.