Ether Hits $2.4K from Cathie Wood's Ark, 21Shares' ETH ETF Amendment

The price of Ethereum surged 2% above $2,400 following an amendment to the spot Ethereum ETF paperwork by Ark Invest/21Shares.

According to Bloomberg Intelligence's Eric Balchunas, the ETF is now more "in line" with spot bitcoin ETFs that were authorized last month by regulators.

On Wednesday afternoon, asset managers Ark Invest and 21Shares revised their joint spot ETH exchange-traded fund (ETF) filing, causing Ethereum's native token ether {{ETH}} to surge past $2,400 and reach a two-week high.

According to the revised S-1 documents submitted on Wednesday to the US Securities and Exchange Commission (SEC), the exchange-traded fund (ETF) would include a cash generation and redemption mechanism, a characteristic that the SEC preferred for the spot bitcoin ETFs that were authorized in January.

"Seems like they revised it to focus solely on cash creations and a few other items that align it with the newly approved spot BTC ETF prospectus," said Eric Balchunas, a senior ETF analyst at Bloomberg Intelligence, using an X post.

In addition, the paper now includes language on the prospect of staking ether through "one or more trusted third party staking providers," which might allow the fund to stake a portion of its assets in exchange for reward tokens.

Within an hour of the news's release, the price of ether (ETH) jumped about 2%, reaching $2,400 for the first time since January 22.

While Bitcoin (BTC) gained 0.4% and the CoinDesk 20 (CD20) index, which measures the top digital assets, gained 1.2%, the second-largest cryptocurrency by market size, XRP, gained 2.4% in the last 24 hours.

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