- Some analysts and sources at the SEC have claimed the Ethereum ETFs could launch in July, leading to rising interest in Ether from traders who believe the ETF will give its price a big boost.
- However, the SEC continues to drag its feet, with sources revealing over the weekend that the agency returned S-1 forms to the applicants, which means there are at least two more stages to go.
When the Bitcoin ETF launched early this year, most of the financial industry was caught by surprise as Gary Gensler had been anti-crypto since taking over the SEC. Since then, the market has eagerly awaited the next biggest thing—the Ethereum ETF. However, in a “watched pot never boils” display, the SEC keeps dragging its feet, frustrating the crypto market, most of whom believe that the ETF will send Ether past the $5,000 barrier.
Ether trades at $3,385, dipping marginally over the weekend and losing 3% in the past week. Its losses have hit over 10% in the past month, but it’s still up 48% since the start of the year.
Ether’s technical indicators signal an impending decline in its price. The 20-day and the 50-day exponential moving averages sit above $3,480; whenever the EMAs sit above an asset’s price, it indicates that the asset is about to lose ground and dip.
When Ethereum ETF?
Despite the bearish signals, the approval of an Ethereum ETF could obliterate any bearish momentum and set the top altcoin for a monster run. In recent days, analysts have pointed to potential approvals by the start of July, with some settling on July 4, as Crypto News Flash reported.
However, after getting so close, these ETFs now seem to be slipping away further. The latest blow from the SEC saw the agency return ten S-1 forms to the applicants with light comments, as some sources at the agency revealed. SEC then requested the applicants to address the comments and hand back the forms by July 8.
However, as the sources revealed, this won’t be the last step. The agency will need at least one more filing from the applicants before it can give its final green light.
As one source noted, “Never ceases to be a winding path.”
Another source gave a more optimistic translation, stating:
B/c last round of S-1 revisions were so light, SEC could contact issuers at any point w/ date as to when funds can launch. Timeline to launch is not clear, but we reasonably expect it would be in next 2-3 weeks.
Bloomberg’s ETF specialist Eric Balchunas corroborated the predictions, noting that the SEC is unlikely to make any progress in the first two weeks of July.
Gensler continues to claim that he is focused on protecting American investors and defending the agency’s stance. At a recent event, he claimed that the ETF process “was going smoothly.” He further dismissed claims that he might cost his employer, Joe Biden, the election with his anti-crypto stance at a time when the Biden camp has fully embraced the industry.
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