ETH Price Shoots 5% As SEC Ends Ethereum Investigation, Whale Activity Jumps

Highlights

Ethereum whale buys $20 million worth of ETH soon as SEC suspends Ethereum investigation.
SEC suspends Ethereum's security status in early win for the community before spot Ethereum ETF approval.
ConsenSys to continue pursuing lawsuit over MetaMask wallet's swap and staking features.

Just before approving the highly anticipated spot Ethereum ETF, the U.S. Securities and Exchange Commission (SEC) delivered an unexpected surprise to the Ethereum community. According to a recent report, the SEC informed ConsenSys that it is willing to end its investigation into Ethereum’s status as a security. Following this announcement, the price of Ethereum (ETH) saw a significant bounce, rising 5% and nearing the $3,600 mark. Additionally, an Ethereum whale purchased 5,603 ETH shortly after the news broke

SEC to End Ethereum Investigation

As announced by ConsenSys, the company reached out to the SEC regarding the status of its investigation into Ethereum 2.0. Furthermore, in a letter sent earlier this month, CensenSys sought clarification from the SEC on whether the approval of the spot Ethereum ETF would result in the closure of their ongoing investigation.

ETHEREUM SURVIVES THE SEC.

Today we’re happy to announce a major win for Ethereum developers, technology providers, and industry participants: the Enforcement Division of the SEC has notified us that it is closing its investigation into Ethereum 2.0.

This means that the SEC…

— Consensys (@Consensys) June 19, 2024

ConsenSys has assured that it would continue its legal battle for further regulatory clarity concerning its user interface software, MetaMask Swaps and Staking. In the lawsuit, ConsenSys sought a declaration stating that offering these features doesn’t violate securities laws under any condition.

The Ethereum software firm has also expressed frustration that a lawsuit is essential in order to bring the regulatory clarity essential for the industry to thrive. ConsenSys stated that clear guidelines are essential for the advancement of crypto technologies and innovations.

Following the Wells Notice, the U.S. SEC has not yet charged ConsenSys regarding the MetaMask Wallet with swaps and staking features. ConsenSys made the Wells Notice public back in April, indicating that it could face charges in the forthcoming days and weeks.

ETH Price Surge Ahead

From its weekly lows of $3,381, the Ethereum price has bounced back strongly. While the ICO whale has been dumping Ethereum recently, other big players have joined in to scoop the supply from the exchange.

As per on-chain data provider Santiment, a prominent whale has withdrawn a total of 16,604 ETH, valued at $58.6 million, from crypto exchange Binance in the past 19 days. The ETH whale reportedly purchase the coins at an average value of $3,600.

Interestingly, the whale purchased an additional 5,603 ETH, worth $19.7 million an hour later the SEC announced permanent suspension of the investigation into Ethereum.

This big whale withdrew 16,604 $ETH (~$58.6M) from #Binance at an avg price of $3,600 in the past 19 days!

The whale’s last actions were to accumulate 5,603 $ETH ($19.7M) ~ 1hr ago, after the #SEC permanently suspended their investigation into #Ethereum.

Follow @spotonchain and… pic.twitter.com/TYeLwLsWns

— Spot On Chain (@spotonchain) June 19, 2024

TAGS
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Bhushan Akolkar

Bhushan is a seasoned crypto writer with over eight years of experience spanning more than 10,000 contributions across multiple platforms like CoinGape, CoinSpeaker, Bitcoinist, Crypto News Flash, and others. Being a Fintech enthusiast, he loves reporting across Crypto, Blockchain, DeFi, Global Macros with a keen understanding in financial markets.   He is committed to continuous learning and stays motivated by sharing the knowledge he acquires. In his free time, Bhushan enjoys reading thriller fiction novels and occasionally explores his culinary skills. Bhushan has a bachelors degree in electronics engineering, however, his interest in finance and economics drives him to crypto and blockchain.

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