ETH prices topped $3,700 in an intraday high in early trading in Asia on Tuesday, May 21. It is the highest the asset has been since early April when it spiked to similar levels before dumping below $3,000 a week later.

The massive 20% move has been triggered by renewed hopes that the US Securities and Exchange Commission will approve the first spot ETH ETF from VanEck on May 23.

It is the largest 24-hour move for ETH for more than a year and it has pulled the rest of the crypto market up with it.

Total market cap is up 8.6% on the day to $2.74 trillion with bitcoin closing in on its all-time high tapping $71,600 during trading in Asia on Tuesday morning.

ETH Spot ETF Hopium

In a post on X on May 21, Bitcoin pioneer Anthony Pompliano said:

“If they approve the Ethereum ETF, they are approving the entire industry. This is the last dam to be broken.”

The big move follows commentary from Bloomberg ETF analysts James Seyffart and Eric Balchunas, who increased their approval odds from 25% to 75% on May 20.

Balchunas reported that the SEC wants revised 19b-4 forms returned to them by 10 am on May 21 “for likely approval as soon as Wednesday.”

There are ten issuers vying for America’s first spot Ethereum ETF, including BlackRock, Fidelity, and Grayscale which is aiming to convert its ETHE fund.

The Eethness Stakes is pretty good. Nice look at all the entrants dealing w this fire drill. Hearing the SEC wants revised 19b-4s returned to them by 10am tmrw morning (based on a bunch of comments they just received today) for likely approval as soon as Wed. https://t.co/rmkSfnX45W

VanEck is the first deadline, followed by Ark 21Shares on May 24. The revelation is a turnaround from earlier this week when industry experts predicted that the SEC would procrastinate on approving the S-1 applications for listing the new products on US stock exchanges.

ETF Store President Nate Geraci said that the marriage between crypto and exchange-traded products “remains the most fascinating place in asset management right now.”

You may not like it, but intersection of crypto ETFs remains the most fascinating place in asset management right now…

Everyone is not only involved, but has this front center.

World’s largest asset managers. Govt/politicians. Regulators. Media. Investors.

Wild stuff.

Prometheum Launches ETH Custody Service

In a related development, crypto asset trading and custody firm Prometheum has launched a controversial Ethereum custody service, treating the asset as a security, according to reports.

Observers have suggested that this could be in preparation for an SEC denial of ETH ETFs on the grounds that it also considers the asset a security.

However, the recent u-turn in sentiment could suggest the opposite may occur this week.