- The potential issuers of Spot ETH ETF are awaiting feedback from the SEC.
- ETH has experienced significant selling pressure in recent weeks.
Ethereums [ETH] Selling pressure is increasing as potential issuers of ETH ETFs (Exchange-Traded Funds) await comment from the Securities and Exchange Commission (SEC) on the status of their S-1 filings filed on May 31.
Many had expected the regulator to provide feedback on the status of these filings before June 7.
However, none of the eight potential issuers whose applications were approved on May 23 have received any feedback.
While it is uncertain how long this process will take, SEC Chairman Gary Gensler noted in a recent interview with CNBC that the agency’s approval of the S-1 forms “would take some time.”
ETH bears the brunt
At the time of writing, ETH was worth $3,539. According to CoinMarketCap According to data, the value of the leading altcoin has fallen by almost 10% in the past week.
This price drop is due to the decline in new demand for the altcoin. At the time of writing, the key momentum indicators were below their respective midlines, confirming the spike in selling pressure.
For example, ETH’s Relative Strength Index (RSI) was 45.40, while the Money Flow Index (MFI) was 45.69. These indicators measure the momentum and strength of an asset’s price movements.
At these values, they suggest that market participants favored ETH sell-offs over accumulating new coins.
ETH’s declining Chaikin money flow confirmed this trend. At the time of writing, the coin’s CMF was in a downtrend and below the zero line of -0.01.
The indicator tracks how money flows in and out of an asset’s market. A negative CMF value is a sign of market weakness. It indicates a capital outflow and indicates a bearish preference for an asset.
Furthermore, the negative values of ETH’s Elder-Ray Index confirmed the bearish bias towards the altcoin. This indicator measures the relationship between the strength of buyers and sellers in the market.
When its value is so negative, bear power is dominant in the market.
At the time of writing, ETH’s Elder-Ray Index value was -209.
Source: TradingView
Read Ethereum’s [ETH] Price forecast 2024-25
If ETH’s selling momentum increases, its price could fall below the $3500 area to exchange hands at $3403.
Source: TradingView
If the invalid and bullish sentiment returns to the market, the price of ETH could rise towards $3610.