Ethereum (ETH) experienced a sudden drop of nearly 5% within just one hour on Thursday, sparking concerns of market manipulation through MEV tactics. The suspected culprit behind this significant crash is the trading firm Symbolic Capital Partners.
According to reports, Symbolic Capital Partners executed a massive sell-off of 6,968 ETH in just one minute at 20:56, totaling $27.38 million with an average selling price of $3,930. A single transaction involved the sale of 3,497 ETH, with a bribe cost as high as 90 ETH. This type of transaction, known as MEV (maximal extractable value), involves leveraging on-chain resources for profit.
The payment of 90 ETH as a bribe suggests a deliberate attempt to drive the price down quickly, potentially to repurchase at a lower value. Following this event, Ethereum’s price has been fluctuating around the $3,800 mark, currently standing at $3,803.37.
Meanwhile, Bloomberg ETF analyst James Seyffart revealed that the approval of spot Ethereum ETFs is imminent. The likelihood of this approval significantly increased after the SEC initiated communication with ETF issuers. Several asset management firms have made amendments to their 19b-4 filings, with VanEck’s Ethereum spot ETF even being listed on DTCC under the ticker $ETHV.
The SEC is expected to make a decision on VanEck’s application today, with the potential for positive outcomes. However, even if approved, immediate trading permission may not be granted. The decision regarding spot Ethereum ETFs is anticipated to be announced around 4 pm (EST).
