Ethereum Returns Over $3.5K Consensys Says SEC To Drop ETH Query
Ether (ETH) is back above $3,500, seeing a small price increase after Consensys said that the United States Securities and Exchange Commission is completing its investigation to ensure that ETH is safe.
ETH traded at 3,493 dollars on June 19, until the company posted on X that the SEC will close the investigation – “big for the space” according to crypto analysts.
Consensys wrote: “The SEC's enforcement division has informed us that it will close its investigation into Ethereum 2.0.”
In 20 minutes, Ether jumped by 1.4% to $3,541 – breaking the milestone and closely tracking the $3,500 level, according to CoinMarketCap data. At the time of publication, it is trading at $3,531.
The $3,500 level was critical for traders as Ether frequently moved above and below the quote. It was a key support level in the last 30 days.
The small jump after Consensys' post shows an increase in investor confidence, which may ease recent violations of securities laws, including ETH transfers on the network, where the SEC has decided to take action.
“This means that the SEC will not charge that the sale of ETH is a securities transaction,” Konsenis added, prompting crypto analysts to celebrate the news.
“Big win for Ethereum,” wrote Delphi Ventures founding partner Tom Shaughnessy.
Christopher Perkins, president of CoinFund, added, “It's a big opening for the Ethereum ecosystem as we enter a new regulatory framework for crypto.”
Ether whales have shown their faith in the announcement. According to blockchain analysis company Lookonchain, one whale bought 5,603 ETH for about 19.6 million dollars.
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It comes a month after the SEC approved spot ether exchange-traded funds (ETFs) in the United States.
Confidence is growing that the final step before the trade — approval of the applicant's Form S-1 registration statements — is also on the way.
SEC Chairman Gary Gensler expects the commission to approve the filings “sometime this summer.”
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This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision.
