In recent trading, the cryptocurrency market saw significant volatility, with over $350 million in leveraged positions liquidated in a single day, the highest since May 1 according to CoinGlass data. Most of these were long positions expecting prices to rise, totaling about $250 million. This suggests that traders who had borrowed heavily to invest were caught off guard by sudden price drops. Ethereum (ETH) traders were particularly affected, with $132 million in liquidations.

Looking ahead, the approval of Ethereum ETFs could potentially bring in over $500 million in new investments, according to analysts' predictions. However, it may take time for this influx of capital to materialize and kickstart a significant upward trend.

Various metrics on the blockchain indicate that Ethereum could establish a strong support level above $4,000 and potentially continue its climb towards $5,000 to $6,000 by August of this year.

The launch of Bitcoin ETFs previously led to substantial institutional investments, raising questions about whether Ether ETFs could similarly attract greater institutional interest.

In conclusion, while the approval of Ethereum ETFs is a positive development, the market's immediate reaction has been mixed. Traders and investors should carefully consider the potential impact of this news amid ongoing market volatility, and whether selling on the news could be a prudent strategy.