Ethereum ETF Optimism Drops As The SEC Delays Hashdex’s ETF Approval

• James Seyffart believes the SEC will in the end deny the spot ETH ETFs by Might 23.
• Seyffart thinks the SEC hasn’t engaged with issuers on Ethereum specifics, not like with Bitcoin ETFs.
• Eric Balchunas additionally thinks ETH ETFs might be delayed however will ultimately occur in the long run.

James Seyffart, a famend ETF analyst, believes the U.S. Safety and Trade Fee (SEC) will in the end deny the spot Ethereum ETF functions by Might 23, 2024. In a latest publish on X, Seyffart famous that his cautiously optimistic angle in direction of ETH ETFs has modified not too long ago. In response to him, the SEC hasn’t engaged with issuers on Ethereum specifics, an actual reverse situation to the Bitcoin ETFs this fall.

Seyffart acknowledged his place after the SEC printed a discover delaying the Hashdex Ethereum ETF software on March 19. He believes the SEC will publish extra delays within the coming days. In response to him, VanEck, Ark/21Shares, and Grayscale are all due for delays within the subsequent 12 days.

In the meantime, the analyst famous the delays don’t come as a shock, as he thinks the one deadline that issues is Might 23. A place he has at all times maintained proper from the start, as he highlighted in his earlier publish from February 6, after the SEC delayed Invesco’s and Galaxy’s ETH ETF approvals.

The possibilities of an Ethereum ETF approval proceed to decrease, with trade stakeholders exhibiting much less optimism towards its actualization. On March 11, Senior ETF Analyst for Bloomberg, Eric Balchunas, famous that the chances of an ETH ETF approval had been right down to 35%. In response to him, the indicators that led to the Bitcoin ETF approval final January are lacking for the Ethereum ETF.

Regardless of the low degree of optimism, Balchunas thinks the SEC will solely delay the Ethereum ETF actualization by not approving it on Might 23. Nonetheless, he stays constructive that it’ll occur in the long run.
ETH’s value dropped considerably on Tuesday following the SEC’s delay in Hashdex’s ETF approval. The flagship altcoin slumped over 10% on Tuesday, marking the biggest single-day drop for the reason that starting of 2024. ETH traded for $3,229 on the time of writing, in accordance with information from TradingView.