Ethereum (ETH) Eyes New All-Time High Above $3600 As VanEck Files for First U.S. Ether ETF

Bhushan Akolkar
May 8, 2021
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VanEck Files Form 8A For Spot Ethereum ETF

The world’s second-largest cryptocurrency Ethereum (ETH) is holding up confidently above $3500 and is eyeing a new all-time high above $3600. At press time, ETH is trading 4% up at $3553 with a market cap of $409 billion.

The recent ETH price surge comes as, on Friday, May 7, asset manager VanEck filed for the first Ethereum exchange-traded-fund (ETF) in the U.S. market. This is the first filing for an Ether ETF in the U.S. by any big financial giant.

Having filed its Bitcoin ETF which is already under the SEC consideration, VanEck seems to take the first-mover advantage in the case of Ethereum. The SEC recently delayed its approval decision on VanEck Bitcoin ETF citing more time for decision making.

VanEck said that it will be holding real ETH against the shares of its VanEck Ether ETF. Thus, retail and institutional investors can gain exposure to the world’s second-largest crypto without directly investing in it. The value of these shares will be reported live using the MVIS CryptoCompare Ethereum Benchmark Rate. The VanEck Ether ETF is currently under the review of the U.S. SEC.

VanEck shall be working with the CBOE BZX exchange on its Ether ETF offering. Apart from the U.S., VanEck is also expanding its crypto offerings in overseas markets. Earlier this week, VanEck launched the first crypto ETH in the European market.

Ethereum’s Showing Solid Fundamental

Ethereum has been trading at 5x year-to-date returns with its massive rally over the last week. As CoinGape reported, the Etheruem fundamentals are showing strength. A lot of ETH is moving off exchanges and into smart contracts, DeFi and ETH 2.0 Deposit contracts.

As Glassnode reports, ETH supply at exchanges has dropped 12% while that in smart contracts has jumped 22%.

Courtesy: Glassnode

As we have seen the Ethereum institutional interest also remains intact with every rise. Earlier this week, Nasdaq-listed Canadian firm Mogo purchased $400K worth of ETH from its corporate books.

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Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
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Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

About Author
About Author
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.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.