Ether and Trading Stocks Take Spotlight as Congress Passes Stablecoin Bill

Ether and other cryptocurrencies have surged recently, following major legislative changes in the US. With the historic GENIUS Act, the crypto market sees renewed hope as stability measures are set to take effect.

Ether and Crypto Stocks Surge After Congress Action

Ether is on an upswing, trading stocks linked to cryptocurrencies saw gains too as significant developments unfolded in the US Congress. Ending the week on a high note, ether climbed 3.6%, reaching $3,558.68 according to Coin Metrics data, reflecting levels not observed since January earlier this year. Following the passage of the GENIUS Act—stablecoin legislation expected to be signed into law by President Trump—the market reacted positively, reinstating a degree of confidence in the crypto realm following months of uncertainty over regulatory frameworks.

Ether ETFs Outpace Bitcoin for First Time

An interesting shift occurred on Thursday as exchange-traded funds (ETFs) linked to the price of ether saw a remarkable surge in inflows. The total net inflow for ether ETFs hit a staggering $602 million, surpassing bitcoin ETFs for the first time. BlackRock’s iShares Ethereum Trust (ETHA) played a major role in this rise, with bitcoin ETFs only logging $522 million in inflows on the same day. The day before, ashattering record of $726.7 million was noted in ether funds, marking a historical moment in the ever-evolving cryptocurrency market.

Crypto Trading Stocks Reflect Market Optimism

In stocks closely tied to the crypto ecosystem, Coinbase experienced a 4% rise, hitting a record intra-day high that eclipsed its initial public offering gains seen in 2021. Additionally, Robinhood also increased by 4%, maintaining its positive trajectory. Meanwhile, Bitmine Immersion, a firm focused on ether treasury stock, experienced an impressive 12% surge on Friday. However, bitcoin’s performance wasn’t as favourable, dipping by 1%.

Ether’s Remarkable Performance Stands Out

The price action over the last week has been particularly favourable for ether. With a 19% advancement noted this week, ether’s performance now reflects a two-week gain around 43.6%, marking its strongest sustained period since August 2021. Bitcoin’s performance struggled, down less than 1% for the week. Wolfe Research’s Read Harvey highlighted, “No coin seems to have more momentum than Ethereum of late,” drawing attention to the shifting dynamics within the cryptocurrency landscape.

Historic Legislation Marks A New Era for Crypto

Thursday’s activities in Congress were significant, as lawmakers passed a series of crypto bills aimed at regulating this evolving market. The GENIUS Act is now anticipated to be the first major piece of legislation focused on cryptocurrencies in the US, with its signing expected Friday. The implications are substantial, as Noelle Acheson, an economist and author, noted, “This is the biggest deal in crypto so far this year,” emphasizing the symbolic weight of such legislation. It signals a shift in the landscape that could alter how cryptocurrencies are governed in the United States going forward.

Congressional Bills Signal Progress for Crypto Regulation

In addition to the GENIUS Act, lawmakers also passed the broader CLARITY Act which will now make its way to the Senate. These are just early steps that could pave the way for a structured future in crypto regulation. Notably, BlackRock’s recent SEC filing to include staking in its ETHA ether ETF further boosted market sentiment. The progress is prompting discussions regarding the sustainable future and the role of stablecoins in the global financial architecture.

The recent positive trajectory of ether and related crypto stocks reflects backdrop changes in the legislative landscape, notably following the passage of the GENIUS Act, a significant step towards regulating stablecoins in the US. As institutional interest grows, bolstered by record ETF inflows, all eyes are on how these legal developments will shape the future of cryptocurrencies. Together with prospective DFIs and stablecoin frameworks, the crypto market appears poised for a promising evolution over the coming months.