Here's Why Crypto Prices Are Jumping This Week — and What's Next

Crypto prices are once again on the rise, and this time it's based on increased investor access to ethereum rather bitcoin.

From Monday to Tuesday, bitcoin (BTC) prices rose 7.8%, with ethereum (ETH) gaining 19.24%. The principal driver of these increases is the U.S. Securities and Exchange Commission's pending approval of spot ETH exchange-traded funds. These ETFs would track the spot (or current price) of ETH, providing investors with an alternative means of gaining exposure to the second largest digital asset by market cap.

Speculation surrounding the SEC's decision has had a cascading effect across the crypto market, driving up prices for large cap cryptos as well as meme coins. In the first 24 hours of trading this week, Binance (BNB), Solana (SOL) and Polkadot (DOT) saw prices appreciate to the tune of 4.55%, 6.92% and 7.93%, respectively, while Dogecoin (DOGE) gained 6.66% and Shiba Inu (SHIB) rose 8.7%.

While prices for these cryptos leveled off or in some cases fell slightly on Wednesday, most are near record highs. Whether the current rally sustains largely depends on the SEC's decision to approve or deny spot ETH ETFs.

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