If all these processes go as planned, the anticipated spot Ethereum ETF could start trading three days after the final versions of these S-1 filings.
Following the approval of the proposals of the spot Ethereum exchange-traded funds (ETF), the crypto community has been anticipating the launch of the first ETH ETF. Some industry experts have predicted that at least one of the approved ETFs could go live by July 15.
In a post on X, Nate Geraci, president of The ETF Store, predicted that the Security Exchange Commission (SEC) could approve the necessary S-1 filings by July 12, leading to the Ethereum ETF starting trading by July 15. Geraci’s predictions and timeline align with those of Bloomberg crypto analyst Eric Balchunas, who stated that the SEC had set July 8 as the final day for ETF issuers to amend their S-1 forms before the potential ETH ETF launch.
According to Geraci, if all these processes go as planned, the anticipated Spot Ethereum ETF could start trading three days after the final versions of these S-1 filings. The ETF could potentially launch by mid-July.
Wen spot eth ETF?
BBG sticking w/ mid-July.
Amended S-1s due July 8th.
Potential final S-1s by July 12th.
Would theoretically mean launch week of July 15th.
via @emily_graffeo @olgakharif pic.twitter.com/NG8xhtCP21
— Nate Geraci (@NateGeraci) July 3, 2024
Similarly, Steve Kurz, head of asset management at Galaxy Digital, has forecast that the SEC will approve the Ethereum ETF to start trading before the end of July. Kurz stated this in an interview with Bloomberg. He said that he expects the approval in weeks, not days, but within July. He noted that his firm has worked with the commission for months and that its upcoming ETH ETF is similar to that of its established Spot Bitcoin ETF.
Potential Impact on the Cryptocurrency Market
Crypto analysts opined that the launch of the Ethereum ETF has the potential to impact the cryptocurrency market. Although ETH is yet to have a strong bullish momentum since April. K33 Research, a crypto analytics firm, maintained that ETH ETF will absorb 0.75% to 1% of the total Ethereum in circulation within the first five months of launch. They stated:
“ETFs are a solid catalyst for relative ETH strength as the summer progresses and flows accumulate, and I firmly view current ETH/BTC prices as a bargain for the patient trader.”
K33 Research’s prediction matches Gemini’s, which expects $5 billion to flow into the ETFs in the first six months. The research firm further revealed that news about the approval of the ETH ETF has had an impact on the ETH/BTC ratio, which depreciated from 0.056 to 0.046 after Bitcoin ETFs were launched. However, it has rebounded to 0.055 now that Ethereum ETFs are expected to be approved soon.
Thus, the potential launch of Ethereum ETF could positively affect the cryptocurrency market and even renew a bull run for Ethereum. More notably, it could also lead to the approval of more cryptocurrency ETFs, such as Solana, XRP, and others, which could lead to more adoption of these digital assets globally.
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