In recent news, the value of Ethereum (ETH) is experiencing pressure due to the delay in the U.S. Securities and Exchange Commission's decision regarding the approval of the Grayscale Ethereum Futures Trust's Ethereum ETF application. The SEC has extended the deadline to May 30, according to the latest filing submitted on Friday.

The Securities Exchange Act of 1934 allows the SEC a timeframe of 180 days or six months from the publication of the proposed rule change notice. Grayscale initially submitted its application in September, with the SEC deferring its decision in November.

The SEC stated in its recent filing that it requires more time to thoroughly evaluate the proposed rule change and the associated concerns.

Bloomberg ETF analyst James Seyffart, in a recent post, mentioned that the delay was expected. Seyffart highlighted Grayscale's strategic approach to potentially secure approval for a spot Ethereum ETF from the SEC. The SEC has previously delayed decisions on Grayscale's ether futures ETF, although it had approved a series of ether futures ETFs in October 2023.

The Ethereum community, in response to security concerns raised by the SEC, has collaborated with Solana. Meanwhile, the price of Ethereum's native cryptocurrency, ETH, has dropped by approximately 18% since its peak on March 11th. Currently, ETH is trading at $3,326 with a market cap of $400 billion.

Notably, Ethereum whale activity in the cryptocurrency market has surged in 2024, indicating increased interest from large-scale investors. Analysts recommend monitoring the 30-day average returns of ETH wallets, which suggest a favorable buying opportunity. Additionally, Ethereum's Relative Strength Index (RSI) has fallen to 28.5, its lowest level since a price bottom in late January.