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- Crypto trader James Fickel borrows $25M in WBTC to buy Ethereum.
- Fickel’s trade suggests a bullish outlook on Ethereum and expects ETF approval.
- SEC review of filings seen as a positive sign for Ethereum ETF approval.
Prominent crypto trader James Fickel engaged in a recent transaction that suggests a bullish outlook on Ethereum compared to Bitcoin. The move has fueled speculation about Fickel’s optimism regarding the potential approval of Ethereum ETFs by the SEC.
As the #SEC requires exchanges to expedite the update of 19B-4 documents on $ETH #ETFs, the probability of approval of $ETH #ETFs has greatly increased.James Fickel(@jamesfickel) continued to borrow 350 $WBTC($25M) from #Aave and exchanged it for 6,905 $ETH to go long the… pic.twitter.com/IYFmQyHVIP— Lookonchain (@lookonchain) May 21, 2024
According to data sourced from Etherscan and shared by crypto analytics handle Lookonchain, Fickel borrowed approximately 350 Wrapped Bitcoin (WBTC) equivalent to $25 million from the decentralized finance platform Aave. He then exchanged these for about 6,905 ET. This move indicates Fickel’s positioning for potential gains in the ETH/BTC trading pair.
Lookonchain acknowledged that ongoing speculation surrounding the possible approval of Ethereum ETFs by the SEC. The SEC has urged exchanges to hasten the update of 19B-4 documents related to ETH ETFs, hinting at a possible green light soon.
This strategic decision is part of a larger pattern where, since the introduction of the Bitcoin ETF, Fickel has accumulated 2,741 WBTC ($150.3 million) and exchanged it for 50,693 ETH at a rate of 0.05408. The timing and scale of these transactions suggest a calculated bet on Ethereum’s rising prominence and value, presumably in anticipation of ETF-related growth.
The SEC is intensively reviewing the Rule 19b-4 and S-1 filings necessary for the approval of Ethereum ETFs as these regulatory filings are crucial for ETFs to be listed on prominent exchanges such as the NYSE and Nasdaq.
By considering the timing of Fickel’s activities in relation to the SEC’s review process, some analysts believe his trading decisions are likely influenced by the anticipated regulatory outcome.
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