Ethereum Classic Surges 19% to $14 Ahead of Coinbase Consumer Listing

Francisco Memoria
  • Ethereum Classic recently surged thanks to an announcement from Coinbase, revealing it'll be listed on Coinbase Consumer later today.
  • The cryptocurrency is now trading at little over $14, far from its $47 all-time high.

Ethereum Classic (ETC) has recently surged over 19%, shortly after the popular San Francisco-based cryptocurrency exchange Coinbase announced its adding it to Coinbase Consumer. Its users will be able to buy the cryptocurrency on its website and mobile app later today, August 16.

As CryptoGlobe covered, Coinbase announced it would add support for Ethereum Classic earlier this year, at about the same time leading exchange Binance added ETC trading pairs. The result was a 20% price surge.

Earlier this month Coinbase revealed it was in a final testing phase before adding support for the cryptocurrency, which helped its price surge to a three-month high of $21. The cryptocurrency’s all-time high, reached back in January of this year, came close to $47.

Shortly after Coinbase’s announcement, commission-free trading app Robinhood also revealed it was adding support for ETC, which further helped its price reach the $21 mark, before enduring a small correction and seeing today’s surge.

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Whenever a cryptocurrency is added to Coinbase, it’s price usually surges in what has become known as the “Coinbase effect” – currently affecting ETC. The effect is partly caused by the added liquidity the firm brings, provided by its over 13 million users. Recently, its CEO revealed it was adding 50,000 users a day last year. Notably last year, when the San Francisco-based exchange added Bitcoin Cash (BCH), the cryptocurrency’s price surged ahead of its official announcement.

At the time most believed someone leaked the information, meaning the price pump was a result of insider trading. Recently an internal investigation found there was no insider trading ahead of BCH’s listing.

While ETC is the latest cryptocurrency Coinbase is supporting, the exchange has revealed it’s considering various tokens. As covered, the company announced it’s looking into Cardano (ADA), Basic Attention Token (BAT), Stellar Lumens (XLM), Zcash (ZEC), and 0x (ZRX).

In a subsequent blog post, Coinbase revealed its institutional custody service, Coinbase Custody, is exploring a range of new assets as well, including Ripple’s XRP, NEO, XMR, and EOS. The company recently made its Index Fund more attractive by halving its fee from 2% to 1%.

VanEck Subsidiary MVIS and Crescent Crypto Launch Three New Indices

Colin Muller

Frankfurt-based MVIS, or MV Index Solutions, in partnership with CryptoCompare, have yesterday (June 18) added three new price indices to their already extensive list of digital asset indices. The new three are CCSMART, CCDARK, and CCALT. MVIS have launched the indices in cooperation with U.S.-based investment firm Crescent Crypto.

The assets tracked in these three new indices can probably be inferred. CCSMART tracks a basket of nine of the most prominent smart contract platforms: ETH, EOS, XLM, ADA, TRX, NEO, ONT, XEM, and WAVES. CCDARK tracks only three popular privacy coins, XMR, DASH, and ZEC. The largest new index, CCALT, tracks a total of 13 assets including LTC, BCH, and ATOM. All of the baskets are weighted in favor of the more popular coins.

The Frankfurt-based company, a subsidiary of VanEck Associates Corp., is a major provider not only in the cryptoasset industry, but also in the traditional financial system, operating dozens of indices of corporate and national bonds, commodities, and other assets.

We are excited to expand our partnership with Crescent. We continue to work closely with Crescent team, and are impressed by their capabilities and vision. These 3 new indices reflect their commitment to providing useful digital asset benchmarks

Thomas Kettner, Managing Director at MVIS

MVIS stand to be big in crypto, too, if a VanEck ETF ever does get approved by the U.S. Securities and Exchange Commission (SEC); as CryptoGlobe reported late last year, MVIS are slated to provide the index pricing for any would-be VanEck-SolidX ETF. Index pricing has been a major issue for the SEC, during their determination of whether or not to approve an ETF, as a reliable price index is one of the most important components of a regulated market.

We are thrilled to announce the publication of our new indices. MVIS is a great partner for us to continue to expand our Index Family. The introduction of sector indexes allows investors to stay informed on the performance of specific themes within the digital asset ecosytem – such as smart contract platforms or anonymity-focused cryptoassets

Christopher Matta, Co-Founder at Crescent

According to yesterday’s press release, the new indices “all draw from the Crescent’s broader index methodology with market cap minimums, liquidity and exchange requirements, cold storage capability.”