Ethereum ETF Approval Faces Delay, ETH Price Dips 😱📉

Ethereum ETF Approval Postponed by SEC

Recently, Ethereum (ETH) price experienced a setback, dropping back to the $3,400 support level after briefly surpassing $3,500. The drop was attributed to the delay in the full approval of Ethereum ETF applications by the SEC, which has been postponed to July 8. Analysts had initially expected approval by July 2, but the SEC requested issuers to submit revised filings by July 8. This delay has created uncertainty in the market regarding the approval timeline.

SEC Requests Revised Filings for Ethereum ETFs

The SEC has asked issuers to resubmit their filings by July 8, delaying the expected approval of Ethereum ETFs. Bloomberg ETF expert Erich Balchunas shared on social media that the SEC needed more time to provide feedback, leading to the revised timeline. SEC Chair Gary Gensler had previously hinted that Ethereum ETFs could be approved by the end of the summer, with the agency currently reviewing and approving the necessary S-1 forms for the ETF launch.

Analysts anticipated approval by July 2, but the SEC extended the deadline to July 8 for revised filings.
SEC Chair Gary Gensler previously indicated approval by end of the summer.
Agencies are in the process of reviewing and approving the S-1 forms for Ethereum ETFs.

Positive Outlook Despite Delay

Despite the delay in approval, asset managers are optimistic about the SEC’s decision to greenlight the first US spot Ethereum ETF applications. Expectations are set for mid-July regarding the approval, with market players eagerly awaiting the launch of these investment products. A recent Bloomberg report highlighted the constructive dialogue between asset managers and the regulator, indicating a positive stance towards Ethereum ETFs.

Ethereum ETF Launch Nears Approval

According to a recent report, the feedback from the regulator regarding Ethereum ETFs has been positive, with issuers addressing minor questions raised by the SEC. Several prominent firms, including BlackRock Inc., Fidelity Investments, 21Shares, and Invesco, have all filed for Ether ETFs, awaiting approval to launch their products. Approval of these ETFs is expected within the next couple of weeks, with asset managers expressing confidence in the process.

Feedback from the SEC on Ethereum ETFs has been positive, with issuers addressing minor questions raised.
Prominent firms like BlackRock, Fidelity, and others have filed for Ether ETFs awaiting approval.
Approval for several Ethereum ETFs is expected within the next couple of weeks.

Potential Inflows in Ethereum ETF Market

Ethereum ETFs are anticipated to attract significant inflows in the first few months of trading, although the volume may not match the historic debut of US spot Bitcoin ETFs. Bitwise’s Chief Investment Officer projected that Ethereum ETFs could see $15 billion in net inflows within the first 18 months of trading. US investors have already invested heavily in Spot Bitcoin ETPs, and a similar trend is expected for Ethereum ETFs.

Ethereum ETFs may attract significant inflows in the initial months, but might not match Bitcoin ETFs’ volume.
Bitwise’s Chief Investment Officer projected $15 billion in net inflows for Ethereum ETFs in the first 18 months.
US investors have shown interest in Spot Bitcoin ETPs, with a trend expected for Ethereum ETFs.

Current State of Ethereum and Future Expectations

Currently, ETH is trading at $3,418, experiencing losses of over 9% in the monthly timeframe. Amidst the market fluctuations and regulatory delays, the crypto community awaits the approval of Ethereum ETFs and the potential impact on the market.

Hot Take: The Future of Ethereum ETFs

As the SEC postpones the approval of Ethereum ETFs, the market remains hopeful for a green light in the coming weeks. The delay in the SEC’s decision has caused uncertainty, but analysts and asset managers are positive about the potential launch of Ethereum ETFs in the US market. Investors are closely monitoring the developments, eagerly anticipating the approval and launch of these investment products in the cryptocurrency space.