Spot Ethereum ETF Launch Date Possibly On July 2: Bloomberg Analyst

Zinger Key Points
  • SEC staff sent light comments on the S-1 filings to issuers, requesting revisions within a week, Balchunas said.
  • Issuers had been awaiting SEC Corp Fin's review of the S-1 filings submitted two weeks ago.

Bloomberg ETF analyst Eric Balchunas moved up the launch date for the highly anticipated spot Ether ETF to July 2.

What Happened: This adjustment comes after the SEC staff sent light comments on the S-1 filings to issuers, asking for revisions within a week.

“Decent chance they work to declare them effective the next week and get it off their plate before the holiday weekend. Anything is possible but this is our best guess as of now,” Balchunas tweeted.

Issuers had been awaiting comments from the SEC’s Corporation Finance (Corp Fin) division, which received the S-1 filings two weeks prior.

According to Balchunas, Corp Fin only recently began reviewing these documents due to a last-minute shift in priorities, likely driven by political factors.

SEC Chair Gary Gensler previously indicated that approvals could come “over the course of this summer,” while Senator Bill Hagerty suggested they would be finalized “by the end of the summer.”

Also Read: Bitcoin Plunges Below $66K: These Indicators Show If It’s Time To Use The Escape Hatch

Recent Market Movements And Sentiment

In parallel, the digital asset market has been experiencing significant movements.

According to CoinShares, the market saw outflows totaling $600 million, the largest since March 22, 2024.

The outflows were primarily driven by a hawkish Federal Open Market Committee (FOMC) meeting, which prompted investors to reduce exposure to fixed-supply assets like Bitcoin BTC/USD.

Bitcoin alone saw outflows of $621 million, while Ethereum ETH/USD, LIDO LIDO/USD, and XRP XRP/USD received inflows of $13 million, $2 million, and $1 million respectively.

Regionally, the United States experienced the bulk of the outflows, totaling $565 million.

Other regions like Canada, Switzerland, and Sweden also saw negative sentiment, with outflows of $15 million, $24 million, and $15 million respectively.

Germany bucked the trend with inflows of $17 million.

The bearish sentiment towards Bitcoin also led to $1.8 million in inflows into short-Bitcoin products.

Future Implications

The adjustment in the Ether ETF launch date could provide a new catalyst for market dynamics, potentially influencing investor behavior and market sentiment.

The anticipation around the launch highlights the increasing integration of digital assets into mainstream financial products and the evolving regulatory landscape.

For those looking to gain deeper insights into these developments and the future of digital assets, Benzinga’s Future of Digital Assets event on Nov. 19 will be a key platform.

Read Next: Paul Ryan Urges America To Embrace Stablecoins To Maintain Dollar Dominance

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Posted In: CryptocurrencyNewsTop StoriesEric BalchunasEthereum ETFStories That Matter
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