Clear Path to Approval: Industry Pundits Optimistic on Spot Ethereum ETFs in 2024
Industry experts and analysts in the cryptocurrency space are optimistic about the potential approval of spot Ethereum exchange-traded funds (ETFs) in 2024. After the recent approval of 11 spot Bitcoin ETFs, experts believe that spot Ether ETFs should have a clear path to approval as well. Bloomberg ETF analyst Eric Balchunas stated that it is unlikely for spot Bitcoin ETFs to be approved without spot Ether ETFs. He compared the relationship between the two cryptocurrencies to a “15-foot rope” where Ether will follow Bitcoin.
Digital asset lawyer Joe Carlasare shares the belief that spot Ether ETFs will be approved this year. However, he expects the approval process to take longer than anticipated. Carlasare suggests that the SEC will carefully craft a precedent that allows them to have some discretion in determining which digital asset ETFs can enter the market. The SEC aims to provide guidance that discourages applicants from filing ETFs for every major token, according to Carlasare.
Analyst Predicts Early Q2 Launch for Spot Ethereum ETFs
Bloomberg ETF analyst Eric Balchunas has gone a step further and predicted that spot Ethereum ETFs have a 70% chance of approval by May. May is the month when the SEC will make a final decision for several ETF applications. However, Balchunas mentioned that the timing for the launch of spot Ether ETFs is still uncertain. The approval of spot Bitcoin ETFs has had a positive impact on the price of Ether, which has seen a 3% spike since the approvals were announced.
Joe Carlasare, on the other hand, believes that spot Ether ETFs will not begin trading until the third quarter of 2024. Meanwhile, Hashdex, one of the spot Ether ETF applicants, has expressed optimism that the Ether products will start trading as early as the second quarter. The actual launch timing will ultimately depend on the SEC’s decision and any requirements or conditions they may impose.
SEC May Approve Spot Ethereum ETFs with a 70% Chance by May, Says Analyst
The recent approval of spot Bitcoin ETFs has raised hopes for the approval of spot Ethereum ETFs as well. Analyst Eric Balchunas puts the chances of approval for spot Ether ETFs at 70% by May. However, the actual timing for the launch of these ETFs remains uncertain. The SEC’s decision will heavily influence the timeline for the launch.
The price of Ether has already seen a positive response to the approval of spot Bitcoin ETFs, with a 3% increase in value. This indicates that the market is optimistic about the potential approval of spot Ethereum ETFs. The final deadline for decision on VanEck’s spot Ether ETF is May 23.
Spot Ethereum ETF Approval Expected, but Launch Timing Remains Uncertain
While the approval of spot Ethereum ETFs in 2024 seems likely, the timing for the launch of these ETFs remains uncertain. Although analysts predict a high chance of approval by May, the SEC’s decision-making process and any additional requirements or conditions could delay the launch.
Industry experts believe that the recent approval of spot Bitcoin ETFs will have a positive impact on the approval process for spot Ether ETFs. The price of Ether has already experienced a 3% increase following the approvals, reaching its highest level since May 2022.
Joe Carlasare expects spot Ether ETFs to start trading in the third quarter of 2024, while Hashdex predicts an earlier launch in the second quarter. These differing opinions reflect the uncertainty surrounding the launch timing, but overall, industry insiders are optimistic about the eventual approval of spot Ethereum ETFs.
Major Players Compete for Approval: BlackRock, VanEck, and More Apply for Spot Ethereum ETFs
Several major players in the cryptocurrency space are vying for SEC approval for their spot Ethereum ETF applications. BlackRock, VanEck, ARK 21Shares, Fidelity, Invesco Galaxy, Grayscale, and Hashdex are among the applicants hoping to launch spot Ethereum ETFs.
The SEC has set specific deadlines for the decision on each application, with VanEck’s application due by May 23, ARK 21Shares by May 24, Hashdex by May 30, Grayscale by June 18, and Invesco by July 5. Fidelity and BlackRock’s applications have later deadlines of August 3 and August 7, respectively.
The competition among these major players shows the growing interest in offering spot Ethereum ETFs to investors. As the popularity of Ethereum continues to rise, these ETFs could provide a more accessible investment option for both institutional and retail investors.
Analyst comment
Positive news: Industry experts and analysts are optimistic about the potential approval of spot Ethereum exchange-traded funds (ETFs) in 2024. The recent approval of spot Bitcoin ETFs has raised hopes for spot Ether ETF approval. The price of Ether has seen a 3% spike since the Bitcoin ETF approvals.
As an analyst, it is likely that spot Ethereum ETFs will be approved in 2024, potentially by May. The approval process may take longer than expected, but the market is optimistic about the potential approval, and the recent approval of spot Bitcoin ETFs has had a positive impact on the price of Ether. The launch timing for spot Ethereum ETFs remains uncertain and will depend on the SEC’s decision and any requirements imposed.
