Today, Ethereum, the biggest alternative to Bitcoin, dropped to $3,000 while Bitcoin remained at $63,500. Despite Bitcoin's price going up by 15% after reaching a low, it lacked support for further gains. The price of Bitcoin has been stuck between $65,000 and $67,000 for a while.

Recently, the price of Ether fell by 6.2% from its high of yesterday to $3,022, now standing at $3,075. The downward trend in Ether's price has negatively affected the risk appetite in other alternative coins, with losses of over 3% seen lately.

The SEC has started hinting at stricter regulations for Ethereum-based ETFs, pointing to potential legal challenges for the cryptocurrency. The delay in the SEC's decision on proposed Ethereum ETFs from Invesco and Galaxy Digital has contributed to the recent decline in Ethereum's position in the market. SEC Chair Gary Gensler's suggestion that Ethereum's shift to proof-of-stake might classify it as a security has fueled regulatory concerns surrounding the cryptocurrency.

Additionally, the SEC's notice to Robinhood regarding potential violations in its cryptocurrency operations indicates the ongoing investigations and regulatory scrutiny in the crypto space. While there might be a possibility for the SEC's stance to change through court intervention, it is unlikely to happen immediately. The decision on approving ETH ETFs is expected by May 23, with a rejection not coming as a surprise given the SEC's recent actions. This implies that even if a new application is submitted, approvals for an ETF might not happen until November 2024.