Ethereum has experienced a huge rise in recent weeks around the news of the SEC's approval of spot ETH ETFs, rising to the $ 4,000 mark.
While bullish expectations continue for ETH, which has been moving around $3,800 recently, analysts said that the implied volatility in Bitcoin and Ethereum options shows that investors expect a stable and calm market for June.
Speaking to The Block, Deribit CEO Luuk Strijers said:
“Given the implied volatility of BTC and ETH options, investors expect the market to remain stable and calm over the next few weeks.
Some investors buy put options to prepare for a decline, while others buy call options to prepare for a rise.
However, if spot ETH ETFs begin trading in the US earlier than expected in June, the price of ETH will increase.
“Investors may be caught off guard by the early launch of ETFs and the rise in Ethereum.”
We Expect the Rise in Ethereum to Continue!
QCP Capital analysts also stated that the data points to a stagnant market, but the market could be caught off guard by an early ETH ETF approval.
Although the data points to a stagnant market, analysts stated that bullish expectations for Ethereum still continue and wrote:
“Bitcoin continues its upward trend despite the negative headlines about Mt. Gox and the DMM attack last week. The upward movement continues in altcoins as well.
This rise is likely to continue as the market waits for spot ETH ETFs to generate new demand.
The options market certainly reflects this; ETH volumes are still trading 15% above BTC volumes.
“Another reason for the persistent uptrend is that some investors are increasing long positions in other cryptocurrencies in anticipation of earlier spot ETH ETF approvals.”
*This is not investment advice.