Which tokens can be ambush before the Ethereum spot ETF is passed?

Original title: "If Ethereum spot ETF is approved next week, which ETH eco-coins can be considered for ambush now?"

Original author: James, BlockTempo

After the U.S. Securities and Exchange Commission (SEC) approved the 19b-4 exchange rule change documents for 8 Ethereum spot ETFs in May, major issuers have also successively submitted updated versions of the S-1 registration application documents. Once approved by the SEC, Ethereum spot ETFs will be open for listing and trading.

Regarding the latest progress, Nate Geraci, president of The ETF Store, said today (8) that the submission of the revised S-1 application has been closed on the 8th. It is not clear how quickly the SEC will process it, but he is optimistic that the Ethereum spot ETF will be launched next week or within two weeks.

Bloomberg analyst James Seyffart also previously predicted that the Ethereum spot ETF may be listed later this week or the week of July 15.

In its latest research report, Gemini estimates that once the United States approves the Ethereum spot ETF, net inflows may be as high as $5 billion in the first six months. The current ETH/BTC ratio is close to a multi-year low. Strong capital inflows may trigger a catch-up rally. If the ETH/BTC ratio returns to the median of the past three years, ETH may rise by nearly 20%. If it reaches a maximum of 0.087, it is expected to rise by 55%.

Which Ethereum ecosystems are worth paying attention to?

After the Ethereum spot ETF is successfully passed, if funds continue to flow in, Ethereum ecosystem projects will be expected to benefit. Therefore, you can focus on the largest areas and projects in the Ethereum ecosystem. The following will be reviewed for readers.

Layer2

Layer2 aims to support the prosperity of the ETH ecosystem with high TPS and low GAS. Its importance is self-evident. Major projects include MATIC, MNT, ARB, STX, IMX, OP, STRK, ZK, AEVO, MANTA, BLAST, etc. Coingecko data shows that the decline of Layer2 ecosystem tokens in the past 30 days ranges from 25% to 50%.

Layer2 token performance. Source: Coingecko

LSD

LSD protocol is a node-related staking service that emerged after ETH switched from POW to POS. Its main projects include LDO, SSV, RPL, FXS, etc. Coingecko data shows that the LSD ecological token has fallen by 25% to 50% in the past 30 days.

LSD token performance. Image source: CoinGecko

DeFi

DeFi applications cover Dex, lending, stablecoin trading, stablecoin issuance, etc. Major projects include Pendle, UNI, AAVE, COMP, CRV, MKR, etc. Coingecko data shows that the decline of DeFi ecosystem tokens in the past 30 days ranges from 15% to 40%.

DeFi token performance. Image source: CoinGecko

Stablecoin protocol based on ETH collateral

There are many ways to issue stablecoins, one of which is to issue with collateral assets. The largest collateral asset includes ETH. After LSD and re-staking, the project party will use the collateralized ETH to obtain liquidity income, and the stablecoin will have a natural yield. The main projects include ENA, LBR, etc., but ENA has fallen by as much as 60% in the past 30 days.

ENA token performance. Image source: Coingecko

Re-staking

Re-staking refers to staking assets again after the initial pledge. Re-staking has developed into one of the mainstream DeFi applications on Ethereum. Major projects include REZ, ETHFI, ALT, BB, etc. Coingecko data shows that DeFi ecosystem tokens have performed badly in the past 30 days, with a drop of 40% to 60%.

Re-staking token performance. Source: CoinGecko

The passage of Ethereum ETF may bring huge development opportunities to the Ethereum ecosystem. The above projects are only part of them. There are many other potential projects worth paying attention to. Please keep an eye on market trends and make investment decisions based on your risk tolerance.

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