The U.S. Securities and Exchange Commission finally gave the green light to a spot bitcoin ETF earlier this week, albeit slightly reluctantly.
Now, speculation is starting to arise as to when the agency will follow suit in terms of an exchange-traded fund that tracks the performance of the second-largest cryptocurrency.
When eth ETF?
2023 will go down in history as the year with the most news and developments in terms of ETFs, as numerous companies requested such products for btc and eth. Perhaps the trend intensified after BlackRock did so in the middle of the year, and many others followed.
With nearly a dozen btc ETFs trading on US stock markets, attention has now shifted to other cryptocurrencies, such as ethereum. Currently, several companies have filed applications to launch such products, including Grayscale, which is attempting to convert its eth Trust into a spot ETF, as it did with its flagship GBTC.
However, the SEC continues to delay the decision and most applications now have to wait until May. History shows that the Commission tends to delay or reject crypto ETFs for years before finally allowing them to hit the markets, but will this be the case now as well?
The Santiment analysis platform took it to X to ask the community its opinion on the matter. It turns out that the majority, more than 52% in fact, believe that the United States will have an ethereum spot ETF by the end of this year. About 10% are even more optimistic and say the green light will be given this month, while 11.3% do not believe that will ever happen.
With several bitcoin?src=hash&ref_src=twsrc%5Etfw” data-wpel-link=”external” target=”_blank”>#bitcoin #ETFis being approved by the #SECOND Wednesday, there are growing hopes that ethereum?src=hash&ref_src=twsrc%5Etfw” data-wpel-link=”external” target=”_blank”>#ethereum and other assets will have their own approved ETFs next. When do you think another asset? $eth Or if not, has your own ETF been officially accepted for public use?
– Sentiment (@santimentfeed) January 12, 2024
Price effects?
We saw btc skyrocket in the months leading up to the SEC approvals and even on the first day of trading. However, the trend reversed violently the next day or so, with the asset plummeting nearly $8,000 in 36 hours when the ETFs were already live for trading.
This has so far given those in the field the advantage of “selling the news.” eth, on the other hand, has just started to rise in value, which could be a speculative run as many expect an ETF to arrive soon.
As such, it would be interesting to follow how the price of eth will behave in the months before and after the approval of such a product, if it is approved.
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