As we should all know, Ethereum spot ETFs launched in the US this week. Many think this will be bullish for Ethereum betas such as Pepe. But what about its Chinese cousin PeiPei?
The spot Ethereum ETF launches in the US were a huge success in the past couple of days. While the market might be down due to other circumstances, this is a gigantic step forward for the Ethereum ecosystem.
Ethereum spot ETFs launched. What is it, and why is it important?
Simply put, these Ethereum ETFs give American institutions access to invest in Ethereum without actually having to buy or hold it themselves.
MT GOX UPDATE: $2.47B BTC MOVED
Mt. Gox moved a total of $2.47B BTC to new wallets this morning in order to distribute 5106 BTC ($335.8M) BTC to 4 separate Bitstamp addresses.
Mt. Gox still holds 80,128 BTC ($5.32B).
Bitstamp is one of the 5 exchanges that the Mt. Gox Trustee… pic.twitter.com/sGTOSN1MfL
— Arkham (@ArkhamIntel) July 24, 2024
While Ethereum is down close to 10% at the time of writing, this is certainly not due to people having too high expectations of the ETFs’ performance.
On the first day of trading, these ETFs had $106.6 million net inflows, meaning there was buying pressure of that amount.
But due to Mt Gox’s redistribution to victims of the exchange’s downfall, Bitcoin and all of the crypto have been taking a tumble these past few days. First, Kraken distributed around $2 billion worth of Bitcoin to Mt Gox victims, and now Bithump will also distribute.
Grayscale Selling Ethereum Amid ETF Launch
(Source)
Another important factor in Ethereum dumping heavily has been the US institution in Grayscale who sold roughly $500 million worth of Ethereum on the launch day of the ETFs.
EXPLORE: 10 Best No KYC Crypto Exchanges for 2024
As we can note from the picture above, Grayscale has sold a total of $811 million Ethereum in the first 2 days of the spot ETFs trading. Without these sales, there would be a net inflow of $784.4 million. Which would 100% have sent Ethereum flying.
Once Grayscale is finished selling, we should definitely expect Ethereum betas such as PeiPei to fly together with Ethereum.
PEIPEI Price Analysis: Moon incoming?
Referring to our earlier analysis of PeiPei, you will get an understanding of some of the terms used in this article, such as MA and RSI. You can find it here.
Looking at the chart, we can see that $0.0×3311 has been a hard resistance for PeiPei to crack, and despite Ethereum and Bitcoin being red today, PeiPei looks fantastic.
DISCOVER: Next 1000x Crypto – 18 Coins That Could 1000x in 2024
We have added a 100 MA to the chart instead of the 30 MA previously used, as it’s starting to make sense to use a longer one. This will make it more accurate, from our experience. When looking at the 100 MA, we can see that the price is currently being tested. A bounce from here would be very, very bullish!
The RSI is trying to cross the 50 level. Successfully capturing the 50 RSI could be seen as a bullish indicator to some and a shift from low-time frame bearishness to bullish.
EXACTLY the kind of response I wanted to see! We back to hyper fucking bullish when shit pumps like this during $BTC dumping. https://t.co/NzN2mIPLmz pic.twitter.com/M0yAWwBiog
— VikingXBT (@VikingXBT) July 24, 2024
To conclude the PeiPei analysis, we want to see either a capture of 0.0×3311 or a retest of 0.0×2573. Both would give us a good entry.
DON’T MISS: Top 3 High APY Staking Opportunities For Crypto Passive Income
Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
Why you can trust 99Bitcoins
Established in 2013, 99Bitcoin’s team members have been crypto experts since Bitcoin’s Early days.
Weekly Research
100k+Monthly readers
Expert contributors
2000+Crypto Projects Reviewed
