ETH ETF spot by Fidely has been postponed until March 5, 2024. Therefore, the late February period could be an opportune time to accumulate spot positions before the SEC's decision on the ETH ETF. Why is the ETH ETF important for altcoins?
ETH currently stands as the largest Layer1 with the highest Total Value Locked (TVL) in the market. Above all, ETH acts as a binding thread connecting all aspects from Layer2, Infrastructure to Layer Scaling Solutions (LSDs). The impact of the ETH ETF will likely be more significant for altcoins compared to the Bitcoin ETF, given that ETH leads the way for all altcoins.
Moreover, the market is eagerly awaiting the Federal Reserve's interest rate decision later this month. Therefore, the postponement of the ETH ETF aligns with expectations before the potential onset of the altcoin season. An optimistic scenario involves the Federal Reserve starting to lower interest rates at the end of January, and if the ETH ETF is approved in March, the Altcoin Season may commence.
Additionally, attention should be given to the BRC-20 ecosystem, nearing completion and receiving support from Bitcoin's Layer2 solutions. Conflux and SatoshiEVM are fulfilling the role of Layer2 for BTC to reduce fees.
BRC-20 tokens include: $ORDI, $STX, $SATs, $BAKE, $ALEX. Grayscale appears to be transferring BTC to exchanges, possibly to realize profits after the approval of the Bitcoin ETF. As they held a significant amount of $GBTC previously, selling to later invest through the Bitcoin ETF may be more convenient.
Furthermore, the RwA trend may take shape with the launch of ONDO, which has doubled in value in the past 24 hours. The project is backed by major supporters, notably including BlackRock. If $ONDO continues its positive growth, the RwA trend is likely to emerge, so it's advisable to pay attention to projects in this sector. Show Less