IMPORTANT POINTS:
- Ethereum ETF Approval: SEC approves Valkyrie Funds LLC’s Ethereum ETF.
- Imminent Launch: The Ethereum ETF will launch on October 2, providing access to Ethereum-based futures.
- Market Reaction: Crypto Markets Rising and Stocks Rebound on Treasury Yields and US Unemployment Numbers
The approval by the US Securities and Exchange Commission (SEC) for the inclusion of Ethereum futures in the Valkyrie Bitcoin and Ether Strategy ETF has generated a significant impact on the cryptocurrency market. This ETF, which is scheduled to launch on October 2, will allow investors to access futures based on Ethereum or “ether” contracts through an exchange-traded fund, marking a major milestone for the cryptocurrency market.
Increase in the Total Capitalization of Cryptocurrencies
The cryptocurrency market has seen an increase in its total capitalization, which now stands at $1.05 trillion, representing an increase of 0.80% in just one day. This rise highlights the growing importance of cryptocurrencies in the global financial landscape and their influence on investors.
Recovery of Traditional Markets
In traditional markets, stocks have shown signs of recovery after heavy losses at the beginning of the month. Investors are paying particular attention to US Treasury yields, which have raised concerns due to their impact on financial markets. The S&P 500 Index rose 0.59%, while the Nasdaq Composite rose about 0.83%.
Relief in Treasury yields, which had hit multi-year highs, contributed to the rally in major stocks. In recent weeks, investors had been grappling with the implications of rising yields and the possibility of higher long-term interest rates.
Labor Market Strength
The 10-year US Treasury bond yield saw a slight rise and hit a 15-year high following the release of labor market-related data. Initial jobless claims came in below expectations, confirming the strength of the labor market. Despite a slight increase in the number of Americans filing unemployment claims last week, reaching 204,000, layoffs remained noticeably low and there were no signs of a significant rise in unemployment.
Cryptocurrencies on the Rise
Regarding the cryptocurrency market, the main cryptocurrencies experienced increases in their value. Bitcoin rose by 2.06%, Ethereum by 2.69%, and Dogecoin by 1.73%. These moves reflect the growing influence and adoption of cryptocurrencies in global financial markets.
