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Ethereum ETF Key Dates Predicted Ahead of Trading Day Debut

DailycoinDailycoin2024/07/09 14:55
By:Dailycoin
  • The SEC’s rule changes in May have opened the door for spot Ethereum ETFs.
  • Analysts have predicted key dates in July for an impending launch.
  • Experts have predicted a flurry of activity, with amended applications due soon.

Excitement is brewing in the cryptocurrency industry as multiple industry analysts predict a potential mid-July launch for long-awaited spot Ethereum exchange-traded funds (ETFs). This news follows the Securities and Exchange Commission’s (SEC) unexpected approval of rule changes in May, paving the way for these investment vehicles.

Mid-July Launch for Spot Ethereum ETFs?

According to Bloomberg, several applicants are expected to submit amended S-1 forms by July 8, a crucial step in the ETF approval process. Industry experts like Nate Geraci, president of The ETF Store, believe this could lead to final approval by July 12, with a theoretical launch week of July 15.

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The potential arrival of spot Ethereum ETFs marks a significant milestone for the cryptocurrency market. The SEC’s green light for rule changes in May, specifically the 19b-4 forms, sent shockwaves through the industry, with Ethereum (ETH) experiencing a short-lived price surge. However, the lack of immediate S-1 form approvals tempered expectations.

In late June, SEC Chair Gary Gensler signaled a smoother approval process for Ethereum ETFs, reiterating his belief that these products could begin trading this summer. This news, coupled with the potential mid-July launch of Ethereum ETFs, has investors buzzing.

Analysts Weigh Potential Impact of Ethereum ETFs

While some analysts, like K33 Research, predict a potential dip in the Ethereum price following the launch of spot ETFs due to “sell the news” sentiment, they remain optimistic about the long-term impact. K33 Research anticipates significant inflows into these ETFs, potentially reaching 1% of the total circulating supply of Ethereum. 

Similarly, Steno Research estimates inflows could reach a staggering $20 billion within the first year of trading. The potential launch of spot Ethereum ETFs in mid-July signifies a potential turning point for cryptocurrency adoption. 

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These regulated investment vehicles could attract a wider range of investors, bringing fresh capital and legitimacy to the crypto market. While short-term volatility is possible, the long-term implications of these ETFs could be substantial. 

On the Flipside

  • Despite the SEC’s seemingly smoother process, unforeseen regulatory roadblocks could still delay the launch of Ethereum ETFs.
  • Future regulatory changes could impact the attractiveness and functionality of Ethereum ETFs.

Why This Matters

The mid-July launch of spot Ethereum ETFs could mark a pivotal moment for the world’s second-largest cryptocurrency. These ETFs promise regulated, institutional-friendly access, potentially unlocking billions in new capital. This influx could bolster Ethereum’s role in decentralized finance (DeFi), reinforcing its position as a key player in the space.

If you like this article, you will probably also like this article about Solana’s recent surge in popularity:
Solana Flipped Ethereum Again, This Time in Record Frequency

This article discusses Vitalik Buterin’s argument that current regulations favor bad actors and stifle innovation:
Ethereum’s Vitalik Buterin Urges for Regulatory Shake-Up

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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