Ethereum Price Analysis – Price action overshadows regulatory concern » Brave New Coin

Ethereum (ETH) has had a strong rebound in the beginning of Q2, now up over 90% since April 7th. The market cap now stands at US$69.55 billion, with exchange-traded volume of US$2.14 billion in the past 24 hours.

Chatter has continued to increase whether or not cryptocurrencies, specifically Ethereum, should be considered a security or not under U.S. law. In an interview with The New York Times, ex-CFTC chairman Gary Gensler said there is a “strong case” that ETH is a noncompliant security, which usually comes with heavy financial penalties and jail time.

In response, venture capital firms, led by Andreessen Horowitz and Union Square Ventures, have asked the SEC for safe harbor from securities law, suggesting that the law does not apply to ETH due to its decentralized nature. Current SEC chair Jay Clayton has already said, “I believe that every ICO I have seen is a security,” and has implied that ETH is not a security, although ETH did have a token sale of its own in 2014.

There…