SEC May Approve Three Ethereum ETFs This Week
22 May, 2024 ● Crypto News
Standard Chartered, a major financial institution with assets exceeding $800 billion, has shifted its perspective on the likelihood of the U.S. Securities and Exchange Commission (SEC) approving spot Ether exchange-traded funds (ETFs).
Initially skeptical about a May approval, the bank now predicts that the SEC will greenlight these ETFs by May 24.
The deadlines for these ETF applications are fast approaching, with VanEck's final submission due by May 23 and both ARK Invest's and 21Shares' applications due the following day.
Geoff Kendrick, the head of FX and digital assets research at Standard Chartered, expressed a high degree of confidence, stating they are “80% to 90%” certain of SEC approval coming later this week.
Kendrick also projected that the spot Ether ETFs could see inflows ranging from 2.39 to 9.15 million Ether in their first year, amounting to approximately $15 billion to $45 billion.
He compared these figures to those anticipated for spot Bitcoin ETFs and suggested that, based on Bitcoin potentially reaching $150,000, Ether could climb to around $8,000 by the end of this cycle.
This change in sentiment follows a broader shift among market analysts, catalyzed by the SEC's request for updates to the 19b-4 filings before the May deadline.
Notably, Bloomberg ETF analyst Eric Balchunas, who previously saw only a 25% chance of approval, has raised his expectation to 75%.
In response, Fidelity has submitted an amended proposal, clarifying that the Ether in its ETF would not be staked.
Amid these more optimistic forecasts, Ether's price surged, hitting a multiweek high of over $3,800, fueled by the increasing likelihood of SEC approval for the spot Ether ETFs.
Sources:
https://cointelegraph.com/news/standard-chartered-spot-ether-etf-approval-this-week
