Ethereum futures trading on the Chicago Mercantile Exchange (CME) have reached a new monthly high, with trading volume surpassing $1.26 billion in May. This significant increase is largely attributed to the landmark approval of multiple Ethereum spot exchange-traded funds (ETFs) on May 23.

Increased Interest and Activity in Ethereum Options

The 104.62% surge in trading volume points to a growing interest and activity in Ethereum options contracts, driven by the positive market sentiment following the approval of ETH ETFs. Additionally, Coinglass data shows a $720 million increase in Ethereum Futures open interest this week, suggesting increased liquidity and depth in the ETH options market.

Institutional Embrace of Ethereum

Alongside the surge in Ethereum futures, the London Stock Exchange (LSE) has listed physically-backed Bitcoin (BTC) and Ethereum (ETH) exchange-traded products (ETPs). This move provides more security and transparency for institutional investors seeking exposure to these cryptocurrencies without directly holding them.

Cathie Wood's Insights on ETH ETF Approvals

Cathie Wood, the CEO of Ark Invest, has acknowledged that the approval of ETH ETF filings was unexpected, as the market had assumed it would be rejected. However, she believes that the approval is a sign that crypto has become a factor in US elections.

Ethereum Price Outlook

At the time of writing, the Ethereum price is trading at $3,756, with a key support level at $3,698. If this level fails to hold, the ETH price could provide another buying opportunity near the $3,600 threshold, with a sell signal that is pending activation.