Ethereum Price Surge Attributed to Spot ETF Anticipation and Coinbase Buying Pressure
CryptoNewsTerminal Staff21 May, 2024
Ethereum Price Surge Attributed to Spot ETF Anticipation and Coinbase Buying Pressure
CryptoQuant, a leading on-chain data analytics platform, has attributed the recent surge in Ethereum (ETH) prices to anticipation surrounding the potential approval of a spot ETF and buying pressure from Coinbase in the spot market. According to CryptoQuant, significant Coinbase inflows coincided with the start of the ETH price increase, indicating heightened demand for ETH as more investors sought to acquire spot assets. The Coinbase premium index also surged to 0.15, signaling increased demand for ETH on Coinbase relative to Binance. Moreover, ETH's spot trading volume on Coinbase skyrocketed by nearly 9x in a single day, from $127 million to $1.1 billion. As of this writing, ETH is trading at $3,803.3, representing a 3.88% gain. This price movement suggests that investors are anticipating the potential approval of a spot ETF, which would provide a more accessible and regulated entry point for ETH investment. Coinbase's buying pressure in the spot market further indicates the platform's significant role in driving ETH demand.
