Ethereum ETF Approval: JPMorgan Forecast
Date: 2024-04-09 Author: Gabriel Deangelo Categories: CRYPTO PAYMENTS
JPMorgan analyst Nikolaos Panigirtzoglou is confident that the US Securities and Exchange Commission (SEC) will ultimately approve spot ETFs based on the second largest cryptocurrency by capitalization. In his forecast, he notes the possibility of litigation if there is no decision in May, but assumes that the SEC will eventually come to a decision about allowing such investment products.
ETH-ETF Registration Probability
In February, JPMorgan analysts estimated the chances of registering spot Ethereum-ETFs at 50%, which remained relevant in May. However, Bloomberg analyst Eric Balchunas halved the likelihood of approval, reducing it from 70% to 35% in March, and specialists at market maker GSR estimated the chances at 20% in the same month.
Response to Commission Requests
In April, the SEC asked for public comment on potential Ethereum-based exchange-traded funds from Grayscale, Fidelity and Bitwise. ConsenSys also called on the Commission to allow spot Ethereum-ETFs.
The opinion of the JPMorgan analyst and estimates of other experts indicate significant investor interest in spot Ethereum-ETFs and emphasize the importance of the SEC decision for the further development of the cryptocurrency fund market.
