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Ethereum ETF Approval Could Change Crypto Market in Unusual Ways
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Since May, the crypto ecosystem has been anticipating the approval of the S-1 filing for the Ethereum spot ETF. While leading market experts have exhausted their projections on the timeline for the product to launch, ETFStore President Nate Geraci he said he sees no reason why the product shouldn’t be released this week.
As it stands, the outlook Ethereum ETF The issuers have reached an agreement to satisfy the U.S. Securities and Exchange Commission (SEC) by making amendments to their respective S-1 registration forms. With commitments already being filed since the days of the spot Bitcoin ETF approval, the market does not expect any further delays.
However, many are concerned about what will happen to the industry if the Ethereum ETF starts trading. The conversation is based on its immediate impact on the market in terms of price gains.
When the SEC approved 19b-4 filings in May, the update fueled a massive spike in the price of the coin, with a ripple effect across Bitcoin and altcoins more broadly. This rally, while short-lived, could be repeated when Ethereum ETF products begin trading.
Bullish price sentiment is already percolating. At the time of writing, Ethereum price and trading volume are up 4.14% and 34.43% to $3,334.51 and $13,196,383,402, respectively.
In addition to the price impact, the launch of the Ethereum ETF has effectively lifted the bar for other altcoins seeking acceptance for similar products on Wall Street. There are already active applications for a VanEck Solana ETF, and 21Shares has already broken the momentum for the product with a duopoly of Bitcoin and Ethereum.
The Ethereum ETF deal and potential capital injection could confirm what crypto advocates have been projecting for some time: the fact that there is a subtle demand for traditional, regulated crypto products.
After Solana, the market may witness a Shiba Inu and XRP ETF in the future.
About the author
Godfrey Benjamin
Godfrey Benjamin is a seasoned crypto journalist whose main goal is to educate everyone around him about the prospects of Web 3.0. His love for crypto was born when, as a former banker, he discovered the obvious advantages of decentralized money over traditional payments. With his vast experience covering various aspects of Web3, Godfrey’s articles have been featured on Blockchain.news, Cryptonews, and Coingape, among others.