BlackRock applied for an Ethereum spot ETF, but the market is now flickering, and the cryptocurrency is long and short bursting nearly $500 million

PANews · 2023-11-10T01:54:25+00:00

On the evening of November 9, BlackRock registered an Ethereum trust in Delaware, and at that time, the market game was extremely fierce, with short-term insertion occurring, and nearly $500 million in long and short double explosions.

PANews

2023-11-10 01:54:25

By Joy, PANews

On the evening of November 9, regulatory filings showed that BlackRock registered an iShares Ethereum Trust in Delaware. BlackRock has taken the first step towards applying for an Ether spot ETF. Previously, BlackRock had similarly registered iShares Bitcoin Trust seven days before filing its Bitcoin spot ETF application with the SEC.

As soon as the news broke, ETH jumped from below $1,900 to over $2,000.

BlackRock submits an ETH spot ETF application, with Coinbase as custodian

Hours after Delaware’s filing, the US Nasdaq filed confirming BlackRock’s plans for the Ethereum ETF. The filing disclosed that BlackRock will seek to list the product on a U.S. stock exchange after obtaining regulatory approval.

! [BlackRock applied for an Ethereum spot ETF, but the market is now flashing, and the cryptocurrency is long and short bursting nearly $500 million] (https://cdn-img.panewslab.com//panews/2022/11/10/images/77098d095f0f6efa0cbf1cd6f1c18154.png)

According to the filing, BlackRock still chose the US cryptocurrency exchange Coinbase to be the custodian of the ETH held by the product, while an unnamed third party will hold its cash. BlackRock also has a market oversight agreement with Coinbase, and based on previous experience with Bitcoin spot ETF applications, such a regulatory sharing agreement appears to be key to SEC approval for such ETFs.

In an effort to prevent possible objections from the SEC to the monitoring of the sharing of surveillance, BlackRock also pointed out in the application email that the price of CME Group’s Ether futures (and the ETFs already hold these futures) match the spot ETH price very well. It is believed that if CME Group could either monitor the detection of spot market fraud in futures ETFs and spot exchange transactions, or monitor the inability to do so for any type of product.

BlackRock’s application also gives the market more confidence in the ETH spot ETF. James Seyffart, a Bloomberg analyst, said that according to public information, there are currently five Ethereum spot ETF applications, namely Vaneck, ARKInvest/21Shares, Hashdex, Invesco US/Galaxy, and Grayscale submitted documents to convert ETHE.

It is worth mentioning that, according to Fox Business Network reporter Charles Gasparino, BlackRock said it is increasingly confident that the US SEC will approve its spot bitcoin ETF in January. According to previous news, the SEC will open an eight-day window and may approve all 12 Bitcoin spot ETFs. Theoretically, the SEC could make a decision on nine of these ETFs at any time between now and January 10, 2024.

The price of the crypto market “rioted”, and the long and short double exploded nearly 500 million US dollars

Last night, shortly after ETH skyrocketed, the market suddenly turned back and plummeted overall. Bitcoin also surged from around $35,000 to just under $38,000 on the news, and then quickly fell to around $36,300, with ETH also falling below $2,000 at one point.

Compared with the decline of mainstream assets, altcoins have seen a sharp retracement and pin market, and projects such as TRB, which led the rally a few days ago, fell even more sharply, SOL fell from $48 to $41 intraday, and Ordi also fell from $20 to $15 intraday.

According to Coinglass data, as of 9 a.m. on November 10, the entire cryptocurrency market had liquidated $493 million in contracts in the past 24 hours, including $219 million in long orders and $274 million in short positions. By currency, BTC liquidated about $167 million, accounting for the largest proportion, and ETH liquidated about $81.9512 million. The largest single stop out order occurred on OKX - BTC-USDT-SWAP, worth $14.7616 million.

So far, the market has stabilized again, led by Ether-based concept coins, such as its staking concept coins, Lido (LDO), Rocket Pool (RPL), SSV Network (SSV), etc., all of which have risen by nearly 20%.

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