• Ethereum noted such bullishness for the first time in more than a month, rising by over 14%.
  • The push in prices helped ETH close above the short-term resistance line, flipping it into support.
  • CFTC chairman Rostin Behnam continues to label ETH as a commodity, while SEC sticks to calling it a security.

For the first time in weeks, the crypto market did well for itself, adding over $40 billion to market capitalization within 24 hours. Many cryptocurrencies joined the rally led by the king coin, Bitcoin, and altcoin king, Ethereum. Although along with the positive market moves, the two assets noted the bullish response from an interesting announcement as well.

Ethereum and Bitcoin are not securities

The chairman of the Commodity Futures Trading Commission (CFTC) declared this Tuesday that both Bitcoin and Ethereum are commodities. Upon being asked whether CFTC or Securities and Exchange Commission (SEC) would hold more power over either one of the other, CFTC chairman Rostin Behnam stated,

“It’s a pretty cynical view to suggest two agencies can’t figure it out and work together.”

He added, saying that in his belief, both the major cryptocurrencies BTC and ETH are commodities, but SEC chair Gary Gensler wouldn’t agree to the same. 

In the past, Gensler has also agreed with the notion of Bitcoin being a commodity but considers ETH and similar proof-of-stake consensus cryptocurrencies to be labeled securities. 

However, as the crypto regulation space in the United States develops, these differences could come to an end.

Ethereum takes a hike

While Ethereum’s classification may still be uncertain, its trajectory seems to be getting clearer. Over the last week, ETH’s price has seen a 14.62% rise, bringing the altcoin king to $1,489. On the four-hour time frame, this rise led to ETH breaching the month-long resistance level and closing above it.

ETH/USD 4-hour chart

The intra-day fluctuations on the daily chart noted ETH touched $1,500 at one point. However, this rise has now placed Ethereum closer to being overbought. On the Relative Strength Index (RSI), the area above 70.0 is a trend reversal trigger zone, and as long as ETH stays away from it, it can sustain this rise.

ETH/USD 1-day chart

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Join Telegram

Recommended content

Recommended Content

Editors’ Picks

Worldcoin price could rally 20% if Nvidia earnings beat estimates

Worldcoin price could rally 20% if Nvidia earnings beat estimates

Worldcoin price is likely to rally 20% after a consolidation. Nvidia's earnings report on Wednesday could catalyze an upside move for WLD. A daily candlestick close below $4.20 would invalidate the bullish thesis.

More Worldcoin News

Shiba Inu whales accumulate SHIB, 25% upswing likely Premium

Shiba Inu whales accumulate SHIB, 25% upswing likely

Shiba Inu price has breached a two-month consolidation, indicating its readiness to move. Investors can expect SHIB to rally 25% and tag the $0.0000315 resistance level.

More Shiba Inu News

Ethereum continues to rally as five potential spot ETH ETF issuers have already submitted amended filings

Ethereum continues to rally as five potential spot ETH ETF issuers have already submitted amended filings

Ethereum (ETH) continued its rally on Tuesday following the submission of amended filings on the Securities & Exchange Commission's (SEC) website by five potential spot ETH ETF issuers.

More Ethereum News

zkSync is allegedly planning token generation event and airdrop

zkSync is allegedly planning token generation event and airdrop

zkSync is allegedly planning a token generation event (TGE) this week and an airdrop launch in June. Matter Labs, the developers behind zkSync, decided to go fully decentralized.

More Cryptocurrencies News

Bitcoin: Is BTC out of the woods? Premium

Bitcoin: Is BTC out of the woods?

Bitcoin price shows signs of continuing its uptrend, providing a buying opportunity between $64,580 to $63,095. On-chain metrics forecast a bullish outlook for BTC ahead. If BTC clears $70,000, the chances of resuming the uptrend would skyrocket.

Read full analysis