Bloomberg Analyst Forecasts 60% Probability of Ethereum ETF Approval in May
May is being closely watched by industry analysts as a potential month for the approval of a spot Ether ETF exchange-traded fund. James Seyffart, an analyst at Bloomberg Intelligence, estimates that there is a 60% chance of approval for spot Ether ETFs in May.
The Securities and Exchange Commission (SEC) recently postponed decisions on several proposed Ether ETFs, leading experts to believe that May could be a significant milestone for potential approvals of spot Ether ETFs.
Seyffart believes that there is a 60% chance of spot Ethereum ETFs being approved in May, although he acknowledges that the SEC has the ability to delay the decision. If the SEC is inclined to approve, it is likely to do so on May 23. However, if approval is not granted in May, Seyffart predicts that it will be delayed until 2025.
Seyffart has identified May 23 as a crucial date in the spot Ether ETF narrative, as it marks the end of the 240-day window for the SEC to decide on proposals from Ark/21Shares and VanEck.
Prominent firms such as BlackRock, Grayscale, Ark 21Shares, and VanEck are all seeking approval to launch spot Ether ETFs.
Grayscale, a digital asset investment firm, is taking a similar approach for its ETH ETF as it did for its Bitcoin ETF. Chief Legal Officer Craig Salm has indicated that Grayscale is hoping for a decision from the SEC in the summer of 2024.
Experts in the industry emphasize the need for caution when predicting the approval of spot Ether ETFs. Finance lawyer Scott Johnson has released a series of threads highlighting the journey of spot ETFs, the regulatory landscape, and the SEC’s approach to digital asset offerings. Various factors, including the presence of Ether, future ETFs, and ongoing discussions between issuers and the SEC, will influence the final decision.
In conclusion, industry analysts are optimistic about the prospects of spot Ether ETF approvals, with May serving as a potential milestone. However, the final decision ultimately rests with the SEC, which will carefully consider various factors before reaching a verdict. Stakeholders are eagerly awaiting further developments and news from regulatory bodies, as May holds significant implications for the future of spot Ether ETFs.