SEC Delays Much-Anticipated Spot Ethereum ETF Launch

• The much-anticipated launch of the spot Ethereum ETF has faced a delay following the latest move by the U.S. Securities and Exchange Commission (SEC).
• Experts, including Bloomberg analysts Eric Balchunas and James Seyffart, initially predicted the launch for the upcoming week, but SEC mandated revisions are pushing the timeline back.
• Due to these necessary adjustments, the forms are expected to be resubmitted, potentially delaying the launch until mid or late July.

Discover why the much-anticipated spot Ethereum ETF was delayed by the SEC and what it means for investors.

SEC’s Recent Actions on Spot Ethereum ETF

The highly-anticipated launch of the spot Ethereum ETF has hit a snag due to the U.S. Securities and Exchange Commission’s (SEC) recent interventions. Bloomberg ETF analysts Eric Balchunas and James Seyffart had foreseen a launch in the upcoming week, but the SEC’s call for amendments in the forms has caused an unexpected delay. Consequently, these forms are required to be resubmitted, which may push the launch to mid or late July.

Notable Developments in Ethereum ETF

The SEC’s request for revisions in the filing forms has postponed the much-anticipated launch of the spot Ethereum ETF. Initially expected by analysts such as Eric Balchunas and James Seyffart for the upcoming week, the launch now faces delays until mid to late July. The comments from the SEC have necessitated the resubmission of S-1 forms by issuers—including prominent names like BlackRock, Fidelity, and VanEck—by July 8th. SEC Chairman Gary Gensler confirmed that the approval process for these ETFs is underway smoothly.

The Implications of This Delay

This delay places Ethereum investors in a state of uncertainty. ETFstore President Nate Geraci noted that previous S-1 form revisions were minimal and suggested that issuers might start trading within the next 14 to 21 days. While the exact timeline remains unclear, the SEC hinted at a potential launch this summer. Critics argue that this delay could negatively impact Ethereum and the broader crypto market, already trading under selling pressure.

Investor Sentiment and Market Impact

The prospect of a spot Ethereum ETF launch had sparked hopes for an altcoin season, with ETH/BTC prices breaking above their 365-day simple moving average. Over the last 24 hours, Ethereum’s price dropped by more than 1%, currently trading at $3,384. Its lowest and highest values in the last 24 hours were $3,363 and $3,467, respectively. Moreover, the trading volume decreased by 8%, indicating waning interest among investors.

Conclusion

The fallout from the SEC’s latest decisions on the spot Ethereum ETF is still unfolding. As investors await the resubmission of forms and the SEC’s ultimate decision, they must remain vigilant. The approval and subsequent trading of the spot Ethereum ETF will be a turning point, impacting both Ethereum specifically and the crypto market at large. Stay updated with us on Twitter, Facebook, Instagram, Telegram, and YouTube for the latest developments.