With the approval of 11 Bitcoin spot ETFs by the US Securities and Exchange Commission (SEC) on Wednesday (10th), the market is now turning its attention to the approval time of Ethereum spot ETFs. According to a report by Cointelegraph, Bloomberg ETF analyst Eric Balchunas believes that the likelihood of Ethereum spot ETF approval in May this year is as high as 70%.
Balchunas previously told Cointelegraph that he couldn’t imagine a scenario where a Bitcoin spot ETF would be approved but an Ethereum spot ETF would not, and he also mentioned hearing through unofficial sources that there would be “no problem” with an Ethereum spot ETF.
Meanwhile, digital asset lawyer Joe Carlasare also believes that an Ethereum spot ETF will be approved this year, but the process “will take longer than people expect.”
Balchunas stated that he estimates there is a 70% chance that an Ethereum spot ETF will be approved before May (SEC must make final decisions on several applications that month), but he also noted that the specific launch time is not yet clear.
Carlasare, on the other hand, believes that Ethereum spot ETFs will not begin trading until the third quarter of 2024, while one of the ETF applicants, Hashdex, recently stated that this Ethereum investment product will start trading at the earliest in the second quarter. Steven McClurg, Chief Investment Officer of Valkyrie Funds, said before the SEC approved the Bitcoin spot ETF that he would not be surprised if Ethereum spot ETFs and XRP ETFs were listed after Bitcoin.
After the news of the approval of the Bitcoin spot ETF came out earlier, the price of Ethereum (ETH) had risen by about 5% to over $2,600 before the publication of this article, reaching a new high since May 2022.
ETH price trend over the past year (Source: TradingView)