Blog

• Some analysts and sources at the SEC have claimed that Ethereum ETFs could launch in July, which has led to a surge in interest in Ether from traders who are confident that the ETF will give a major boost to the Ether price.
• However, the SEC continues to drag its feet. Sources revealed over the weekend that the agency has sent the S-1 forms back to the applicants, meaning there are at least two more steps to complete.

When the Bitcoin ETF was launched earlier this year, most of the financial industry was surprised, as Gary Gensler has been anti-cryptocurrency since taking over the SEC. Since then, the market has been eagerly awaiting the next big thing – the Ethereum ETF. But the SEC continues to hesitate, frustrating the crypto market, where most believe the ETF will push Ether above the $5,000 mark.

Ether is trading at $3,385, down slightly over the weekend and down 3% over the past week. Losses totaled over 10% over the past month, but the price is still up 48% year-to-date.

Ether’s technical indicators suggest an impending price decline. The 20-day and 50-day exponential moving averages are above $3,480. When the EMAs are above the price of an asset, it suggests that the asset will soon lose ground and fall.

When Ethereum ETF?

Despite the bearish signals, the approval of an Ethereum ETF could negate any bearish momentum and set the top altcoin up for a monster run. In recent days, analysts have been pointing to possible approvals by early July, with some settling on July 4, as Crypto News Flash reported.

But after coming so close, these ETFs now appear to be fading further. The SEC’s latest blow was that the agency sent 10 S-1 forms back to the filers with light comments, some sources in the agency revealed. The SEC then asked the filers to consider the comments and return the forms by July 8.

However, the sources revealed that this will not be the final step. The agency will need at least one more application from applicants before it can give the final green light.

One source noted: “It never stops being a winding road.”

Another source gave a more optimistic translation, stating:

Because the last round of S-1 revisions were so minor, the SEC was free to contact issuers at any time with a date when the funds could be launched. The timeline for launch is not clear, but we expect it to be in the next 2-3 weeks.

Bloomberg ETF specialist Eric Balchunas confirmed 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 all about protecting American investors and defending the agency’s stance. At a recent event, he claimed that the ETF process is “smooth.” He also dismissed claims that he could cost his employer Joe Biden the election with his anti-crypto stance at a time when the Biden camp has fully embraced the industry.

Recommended for you: