Delay in Approval of Ethereum ETF Raises Concerns
The approval of the Ethereum spot exchange-traded fund (ETF) has faced yet another delay, with new projections suggesting a possible approval date of July 23.
The cryptocurrency community eagerly awaited the decision, only to see the deadline come and go without a final verdict, adding a new twist to the unfolding story.
Analysts’ Projections for July 23 Ethereum ETF Launch
Bloomberg ETF analyst Eric Balchunas shed light on the latest developments surrounding the Ethereum ETF approval process. According to him:
“I heard that the SEC finally contacted the issuer today and asked it to return the final S-1 (including fees) on Wednesday, and that it would be effective the following Monday after the Tuesday, July 23rd publication deadline. Of course, this is assuming No unexpected last-minute issues.”
Market Reaction and Industry Optimism
Despite the setbacks and delays, the cryptocurrency industry remains optimistic about the approval and launch of Ethereum-based ETFs. The U.S. Securities and Exchange Commission (SEC) has reportedly given preliminary approval to several asset managers seeking to launch ETFs, with final documents due this week.
Industry giants like BlackRock, Van Eck, and Franklin Templeton are among the contenders poised to receive SEC approval, possibly launching their ETFs simultaneously next Monday, although the SEC refrains from commenting on individual filings.
The anticipated approval of Ethereum-based ETFs signifies a significant milestone for the crypto space, bringing digital assets closer to mainstream financial acceptance. Ethereum’s price has already seen a 4.27% increase in the past 24 hours, currently trading at around $3,471.
Predictions and Future Possibilities
Cryptocurrency analyst Andrew Kang commented on the market impact of the upcoming ETF approval, stating:
“Ethereum is approaching $3,600 ahead of ETFs in this relief rally. Even after ETF approval/launch, Ethereum is expected to remain lower for some time. Bitcoin performs stronger than expected amid unfavorable market structural dynamics, we believe there may be significant unannounced developments,” Kang wrote on Twitter.
These developments could include new market entrants, changes in China’s crypto policy, national initiatives regarding Bitcoin and other digital assets, and more.
