From financemagnates by Damian Chmiel
Ethereum (ETH), the second-largest cryptocurrency by market capitalization, saw a notable increase on Wednesday as it attempted to rebound from multi-month lows. The price movement followed reports that CBOE and 21Shares plan to introduce staking options for the token within their exchange-traded funds (ETFs).
At the same time, a recent analysis by 10x Research indicates that Ethereum appears technically oversold, with its Relative Strength Index (RSI) dropping to 36%. Several upcoming catalysts could potentially support a price recovery.
Why is Ethereum’s price up today, and will ETH continue to climb in February 2025? We examine the latest expert insights and predictions.
Ethereum's price jumped significantly this week as CBOE BZX Exchange unveiled groundbreaking plans to incorporate staking capabilities into 21Shares' spot Ethereum ETF, marking a potential watershed moment for institutional cryptocurrency investment.
The second-largest cryptocurrency by market capitalization surged 5.3% to reach $2,800 before settling at $2,738 on Wednesday, as investors responded to the innovative proposal that could fundamentally transform the ETF landscape. This move represents the first attempt to combine traditional ETF structure with cryptocurrency staking rewards.
In a filing with the Securities and Exchange Commission (SEC), 21Shares outlined its intention to stake portions of the Trust's Ether holdings through verified staking providers. The asset manager emphasized that this approach would enhance investor benefits while maintaining accurate tracking of Ether's performance.
Joe Lubin, Ethereum co-founder, had previously hinted at such developments, revealing ongoing discussions with ETF providers about staking integration. This filing appears to confirm those efforts are moving from concept to reality.