- Spot Ethereum ETFs may start trading next Tuesday.
- The SEC is in the process of collecting final drafts from potential Ethereum ETF issuers.
Ethereum [ETH] rose past $3,400 earlier today and posted an intraday high of $3,498 CoinMarketCap before the momentum waned. The leading altcoin was trading at $3,445 at the time of writing – up 3.64% in the past 24 hours.
Source: ETH/USDT chart, TradingView
Although ETH recovered from its trip below $3,000 last week and at the time of writing was trading 12.8% higher over the past seven days, it remains 13.2% lower than its March 11 high.
The latest gains follow reports of an upcoming approval of a US Ethereum exchange-traded fund (ETF) next week.
Discover Ethereum ETF Update
ETF market commentator Nate Geraci firmly predicted earlier this week that the U.S. Securities and Exchange Commission (SEC) would soon approve the refiled registration statements.
In a Sunday post on X (formerly Twitter), Geraci wrote,
“Welcome to the scene [ETH] ETF approval week. I’ll call it. Don’t know anything specific, just can’t figure it out [without] good reason for further delay on this point. Issuers ready for launch.”
Bloomberg ETF analyst Eric Balchunas seconded Geraci in a separate post, adding that only an unforeseeable last-minute setback could delay the launch. He recognized,
“Nate’s instincts were right when he learned that SEC finally contacted issuers today, requesting that the FINAL S-1s be returned on Wednesday (incl. fees) and then on Monday after close to request the effectiveness for a launching on Tuesday, September 23.”
Separately a report from Reutersdated July 15, quoted three sources as indicating that the SEC would likely greenlight applications from at least three issuers – BlackRock, VanEck and Franklin Templeton – to begin trading “next Monday.”
This final approval milestone will be dependent on issuers filing final documents before the end of the week, according to sources familiar.
Market forecast
While the specific approval date remains unclear at this time, there has been market excitement in recent weeks since the SEC approved filers’ Forms 19b-4 in May.
In June, the US SEC provided feedback on S-1 form filings, highlighting areas that need revision.
Last week, the securities regulator asked the eight asset managers seeking approval for their spot Ethereum ETFs to file amended S-1 registration statements.
The approval of a spot Ethereum ETF is expected to have a significant impact on the Ethereum market and the broader crypto industry.
The ETF offering, which is tied to the spot price of Ether, offers investors a new opportunity to gain exposure to the altcoin through a regulated financial product.
Most market analysts have predicted that the Ether ETFs could attract investment flows from institutional investors, potentially replicating the inflows into spot Bitcoin ETFs seen in the first half of the year.
US Bitcoin ETFs have attracted $16.12 billion in inflows since their launch earlier this year. facts from Farside’s Bitcoin ETF flow chart.
Source: Yahoo Finance
Read Ethereum’s [ETH] Price forecast 2024-2025
Worth noting is the fact that the predicted launch date coincides with the week of 2024 Bitcoin conference in Nashville.
The conference, which takes place from July 25 to 27, will feature prominent speakers including Michael Saylor, executive chairman of MicroStrategy, ARK founder Cathie Wood, independent US presidential candidate Robert Kennedy Jr. and Republican US presidential candidate Donald Trump.