21Shares Files for Sui Spot ETF
21Shares, a prominent digital asset manager with $10 billion in assets under management, has filed with the Securities and Exchange Commission (SEC) for a spot Bitcoin ETF. This follows Canary Capital's earlier application, making 21Shares the second firm to pursue this opportunity.
Key Details of the 21Shares SUI ETF Application
- Coinbase Custody: Coinbase will serve as the custodian for the proposed ETF.
- Cash Settlement: ETF share creations and redemptions will be cash-settled, not in-kind.
The SEC's decision on both applications remains pending. The full application is available on the SEC's EDGAR database.
21Shares' Strategic Partnership with Sui
Simultaneously, 21Shares announced a strategic partnership with Sui to broaden its global reach. This collaboration encompasses product partnerships, research initiatives, and more. 21Shares President Duncan Moir stated, "Since our earliest research into Sui, we believed it could become one of the most exciting blockchains in the industry, and we’re seeing that thesis play out."
Market Reaction and SUI Price Analysis
News of the ETF filing initially boosted SUI's price by 9%. However, this gain proved short-lived, as Bitcoin dominance increased to 64.8%, leading to a market correction. Despite the recent rally from April lows (+100%), SUI is currently consolidating around $3.50.
While this consolidation is above the 200-day moving average (DMA), a key technical support level, a significant drop in network activity—a 45% decrease from nearly 2 million active accounts to 1.1 million—suggests potential for sideways movement or a price dip unless user engagement increases.
Source: SUI/USDT, TradingView
Source: Sui Scan
Disclaimer: This information is for educational purposes only and is not financial advice. Always conduct thorough research before making investment decisions.