Ether experienced a significant surge in accumulation by long-term holders following a 2% price drop over a 24-hour period, marking one of its largest days for accumulation to date.
Julio Moreno, the head of research at CryptoQuant, noted in a post on June 13 that Ethereum demand had spiked, with permanent holders acquiring the second-highest amount on record the day before. Moreno highlighted that accumulation addresses had obtained 298,000 Ether tokens on June 12, amounting to approximately $1.34 billion at the time of reporting. This figure was only 6% lower than the record set on September 11, 2023, when long-term holders purchased 317,000 Ether as the price dipped below $1,600.
Despite Ether’s 8.49% price decline over the past week, dropping below $3,800 on June 8 and struggling to recover, it managed to remain above $3,400 during this period according to CoinMarketCap data. Currently, Ether is trading at $3,472.
Recent price trends have shown that the $3,500 mark poses a significant resistance for ETH bulls, with past instances of drops below this level resulting in substantial declines. Cointelegraph reported on June 11 that a similar drop below $3,500 on April 11 led to a 25% decrease, hitting a low of $2,814 by May 2.
In other news, the chair of the United States Securities and Exchange Commission (SEC) hinted at the potential approval of spot Ether exchange-traded funds (ETFs) for trading before the end of September. SEC Chair Gary Gensler mentioned during a Senate Banking Committee hearing on June 13 that the regulator could finalize approvals for listing and trading shares of spot Ether ETFs within the next three months.
It was reported on May 23 that the SEC had granted preliminary regulatory approval for spot Ether ETFs in the U.S. by accepting 19b-4 filings from eight applicants. However, trading can only commence once the S-1 registration statements are also approved.
Please note that this article is for informational purposes only and does not constitute investment advice. Readers are advised to conduct their own research and exercise caution when making investment decisions as all trading activities involve risk.