The crypto market is close to having the second Spot crypto ETF. Spot ETH ETF is likely to go live on July 23, 2024, that is next Tuesday. A total of three issuers have reportedly received preliminary approval from the US Securities & Exchange Commission. These are Franklin Templeton, BlackRock, and VanEck. Others are on the line and could launch their ETFs simultaneously. The Commission has set a deadline of July 16, 2024, for the final submission of S-1 registration forms. The primary idea is to mention the fees.
Eight Spot ETH ETFs are expected to go live on July 23, 2024. Others on the list are Ark 21 Shares, Fidelity, Bitwise, Grayscale, and INvesco Galaxy. If and when approved, Spot ETH ETFs are speculated to mark an inflow of $15 billion in the first 18 months, according to crypto sphere analysts.
The SEC may approve the registration form by the end of Monday, probably after the market closes. This would set the window for trading beginning the next day. Ether ETF will be listed on the Nasdaq, New York Stock Exchange, and the Chicago Board Options Exchange.
Katherin Dowling, Bitwise’s Chief Compliance Officer, said there are now fewer and fewer issues between the agency and the issuers, adding that they are close to the launch’s finish line. This statement by Dowling dates back to July 09, 2024, and also holds relevance after a week.
An inflow of around $15 billion has been speculated by Matt Hougan, the Chief Investment Officer of Bitwise. Matt believes that the number would be roughly equal to what Spot Bitcoin ETF has fetched in its tenure.
Several issuers filed S-1 forms on July 08, 2024, but left out the fees section. Eric Balchunas, a Bloomberg ETF Analyst, believes that issuers likely wanted to check out how much fees their competitors are planning to charge. At the center is BlackRock, with the remaining 7 applicants wanting to set their benchmark accordingly.
Notably, trading for Spot ETH ETF is expected to start on the sidelines of the Bitcoin Conference, which is scheduled to take place in Nashville. The launch of Spot ETH ETF is expected to boost the adoption of cryptocurrencies, especially Ethereum ($ETH). It would also drive the token value to a new ATH.
The highly predicted ETH value for year-end is $4,000. Alternatively, it could go as high as $4,300, given all factors align favorably. This pertains to the overall condition of the crypto market and economic factors like inflation plus global liquidity supply, to mention a few.
The update comes as ETH hovers around $3,385.48, with a surge of 0.82% in the last 24 hours. The value has also jumped by 10.46% in the last 7 days and declined by 4.85% in the last 30 days. There is a significant upswing in market cap and 24-hour trading volume of 0.81% and 48.04%, applicable in the same order.
Near-term ETH predictions are less bullish, with no sign of surpassing the psychological support level of $4k, at least in the next 30 days. If anything, the token can go as high as $3,602.27, up by 3.13% from the current value amid the volatility of 5.98%. Prevailing sentiments are bullish, and the FGI shows 52 points. Investors are still concerned about diverting their funds to ETH. These concerns could fade away, given ETF approval is around the corner.
Meanwhile, it is learned that Ethereum Whales are betting heavily on staking. As of July 11, 2024, crypto whales were seen taking a greater than usual interest in staking ETH within the Ethereum ecosystem. Most investors have reportedly moved their funds to take advantage of the passive income opportunities offered via WBETH, that is, Beacon ETH.
One example is the movement of 16,074 ETH tokens. They were valued at $49.24 million when the whale withdrew them from Binance, Bitfinex, and Coinbase to stake them. Staking the token goes on to reflect a renewed interest in the network.
Circling back to the Spot ETH ETF, Kaiko has said that the product could outperform Bitcoin after its launch. Kaiko is an institutional market data provider that has come forward with the projection. It has cited the Ether-Bitcoin price ratio, which has stood at 0.05 from 0.045 since the Commission approved 19b-4. This translates to the rise in strength in the value of Ethereum. The stronger the ratio, the better the chances of Ether outperforming BTC.
Bitcoin has hit the mark of $62,965.55 with a jump of 0.09% in the last 24 hours, at the press time. It further reflects a surge of 9.92% in the last 7 days and a plunge of 4.88% in the last 30 days. Bitcoin is facing pressure from the German government and Mt. Gox, with the latter looking to roll out settlements for the victims of the 2014 hack.
Both tokens have been at war for a long time. The approval of Spot ETH ETF could take it to the next level. That’s not it, for it would potentially pave the way for more crypto ETFs in the market. It just remains to be seen how much time other digital assets take to make advancements in front of the US SEC.
All eyes are on July 23, 2024, when the Spot ETH ETF is expected to hit the trading board. Once live, it will be all about inflows in the first 18 months and its comparison to the Spot Bitcoin ETF. Externally, it is collectively poised to boost the chances of other crypto ETFs while fueling the recognition and adoption of cryptocurrencies across the world.