The issuers must still await final regulatory signoff on S-1 filings before listing the funds.
In a recent interview, US Securities and Exchange Commission (SEC) Commissioner Hester Peirce reopened the discussion of adding staking features to Ethereum ETFs (exchange-traded funds) after their upcoming launch, possibly on July 23. Initially, ETF issuers such as VanEck and Fidelity had sought approval to wager the underlying Ethereum held in their products. However, it […]
The competitive fee setting for Ethereum spot ETFs may trigger a fee war, intensifying market competition and potentially benefiting investors.
The post 21Shares sets Ethereum spot ETF fee at 0.21%, new filing reveals appeared first on Crypto Briefing.
Ether price could double during the 2025 bull cycle, thanks to increased institutional interest introduced by ETH ETFs, according to Bybit’s head of institutions.
Ethereum (ETH) is up in the last 24 hours. This is thanks to a recent development suggesting that the Spot Ethereum ETFs are set to launch anytime soon. These funds are expected to positively impact ETH’s price, with the second-largest crypto token poised to reach new highs. Why ETH Is Up Today Ethereum experienced a price surge following Bloomberg analyst Eric Balchunas’ revelation that the Spot Ethereum ETFs could begin trading by July 23. Balchunas mentioned in an X (formerly Twitter) post that the US Securities and Exchange Commission (SEC) has gotten back to the fund issuers and asked them to submit their final S-1 filings by July 22. Related Reading: Analyst Says Solana Price Could Rise 450% To $840 – Here Are The Drivers The SEC also asked them to request effectiveness on July 22 so they can launch on July 23. Therefore, the Spot Ethereum ETFs should launch by next week, provided there are no “unforeseeable” last-minute issues, as noted by Balchunas. The launch of the Spot Ethereum ETFs is undoubtedly bullish for ETH, giving the amount of new money set to flow into its ecosystem through these funds. Crypto research firm K33 predicted that these Spot Ethereum ETFs could attract as much as $4.8 billion in their first five months of trading. In line with this, crypto analysts predict that Ethereum could record massive gains thanks to these inflows. Crypto analyst Linda recently predicted that the crypto token could rise to as high as $4,000 soon enough. Other analysts, like Altcoin Sherpa, have also predicted that ETH will hit $4,000 soon. Meanwhile, crypto analyst and trader Tyler Durden has provided a more bullish prediction for ETH, stating that the crypto token will rise to $10,000 “just the way the chips have fallen.” The crypto analyst alluded to the Spot Ethereum ETFs as what will spark such a parabolic move for Ethereum. He claimed that institutional investors had put so much effort into ensuring that the Spot Ethereum ETFs were approved and that they would ensure that they made money from these funds while pumping ETH’s price. What The Spot Ethereum ETFs Mean For Altcoins The Spot Ethereum ETFs launch is also expected to spark massive moves for other altcoins and is likely to kickstart the altcoin season. Crypto analyst Crypto Rover advised market participants to prepare accordingly, boldly asserting that altcoin season will start once the Spot Ethereum ETFs begin trading. Related Reading: JPMorgan Says Crypto Liquidations Will End And Bitcoin Bull Market Will Begin, Here’s When From a technical perspective, crypto analyst Titan of Crypto mentioned that altcoins are ready to make major moves to the upside as Bitcoin’s dominance drops. Crypto analyst Mikybull Crypto also stated that the macro short-term correction for altcoins is about to end, meaning that the Spot Ethereum ETFs could be the catalyst that sparks a bullish reversal. At the time of writing, ETH is trading at around $3,300, up in the last 24 hours, according to data from CoinMarketCap. Featured image created with Dall.E, chart from Tradingview.com
The post Ethereum Spot ETF to Launch On July 23, ETH Price To Mark New Highs At $5600 Shortly appeared first on Coinpedia Fintech News
After experiencing a brutal attack, the Ethereum price rebounded and moved faster than expected from the lows. With this, the higher target at $4000 has been triggered, however, the rally is not expected to calm until it forms a new ATH above $5100. Will the upcoming ETF launch be the major catalyst to elevate the …
Bitcoin saw its fifth-largest week of inflows on record, helping it recapture the $60,000 mark, while Ether inflows took second place in anticipation of the US Ether ETFs.
Expect ETH’s spot price to be more responsive to ETF inflows than BTC’s, says crypto investment manager Tom Dunleavy.
SEC Chair Gary Gensler said that the commission could give final approvals on spot Ether ETFs sometime in summer 2024, while some analysts are predicting as early as July.
The price of Ethereum could be bolstered by inflows into upcoming U.S. spot ETFs, while Bitcoin faces headwinds from Mt. Gox creditor repayments.
In Cointelegraph’s latest video, experts discuss the impact of the spot Bitcoin ETF approvals on the crypto markets and the potential for a spot Ethereum ETF.
Ethereum enthusiasts were cruising down the information superhighway towards a July 4th fireworks celebration of a different kind: the launch of the first spot Ethereum ETF. Related Reading: Solana Poised For Epic Reversal? Analyst Spots Bullish Pattern Echoing 2022 Breakout But in a move that worried investors, the US Securities and Exchange Commission threw a big wrench into the works, unexpectedly returning applicants’ proposals and delaying the much-anticipated debut. Missed Exit: Ethereum ETF July Launch Goes Up In Smoke The news came as a shock to many, as market watchers and analysts alike had confidently predicted a July launch, with some even suggesting a celebratory trade on Independence Day. Bloomberg ETF analysts Eric Balchunas and James Seyffart were among those waving the checkered flag a little too early. Their prediction of a July 2nd debut went up in smoke faster than a Roman candle after the SEC decided to put the brakes on the process. Unfort think we gonna have to push back our over/under till after holiday. Sounds like SEC took extra time to get back to ppl this wk (altho again very light tweaks) and from what I hear next wk is dead bc holiday = July 8th the process resumes and soon after that they’ll launch… https://t.co/0ZQR7yiBLt — Eric Balchunas (@EricBalchunas) June 28, 2024 Insiders claim that the SEC has delayed the anticipated debut date by requesting changes to the S-1 paperwork that issuers have submitted. This unexpected diversion raises serious concerns about the schedule as a whole. Although there are others who anticipate clearance by July 8th, the impending US holiday probably adds another level of difficulty. Uncharted Territory: The SEC Takes The Wheel The lack of a definitive timeline is a major source of frustration for investors and issuers alike. Unlike the previous 19b-4 forms, which mandated a specific SEC decision timeframe, the S-1 filing process gives the regulatory body the freedom to take its sweet time. This essentially hands the steering wheel over to the SEC, allowing them to request revisions and conduct a thorough review without the pressure of a ticking clock. While SEC Chair Gary Gensler has previously hinted at approvals “sometime this summer,” his comments haven’t offered much solace to the jittery market. The recent snafu with the S-1 forms indicates that even a summer launch might be overly optimistic. This lack of clarity is a major hurdle for issuers and creates uncertainty for investors who are eager to jump on board the Ethereum ETF bandwagon. Related Reading: XRP Year-Long Curse Broken? Analyst Bullish On Crypto’s 240% Rally The Road Ahead Even if Ethereum ETFs do eventually reach the finish line, experts predict they might not attract the same level of investment as their Bitcoin counterparts. The perceived lower volatility of Bitcoin, coupled with the already established Bitcoin ETF landscape, might make them a more attractive option for some investors. The SEC’s recent actions have thrown the timeline into disarray, leaving investors and issuers in a state of limbo. While approval might still happen “sometime this summer,” the lack of clarity and the potential for lower inflows compared to Bitcoin ETFs paint a picture of a bumpy ride ahead for these highly anticipated investment vehicles. Featured image from Pexels, chart from TradingView
The realm of cryptocurrency ETFs appears to be now expanding, yet not all digital assets are poised for an easy transition into this financial product. GSR’s recent analysis of the potential for ETFs across various crypto has brought forward insights that place XRP and Cardano in a challenging position for ETF adaptation. Using a comprehensive […]
As the highly anticipated launch of the first spot Ethereum ETFs in the United States nears, experts are predicting a significant price appreciation for the second-largest cryptocurrency in the market. Ethereum ETFs On The Horizon According to a recent Reuters report, the US Securities and Exchange Commission (SEC) could approve Ethereum ETFs as soon as July 4, as discussions between asset managers and regulators enter the final stages. Industry executives and other participants who requested anonymity due to the confidential nature of the talks revealed that the process of amending the offering documents has progressed to resolving only “minor” issues, and approval is “probably not more than a week or two away.” Related Reading: Bitcoin Battling Bearish Headwinds: Is The Sell-Off Over? According to Morningstar Direct data, the launch of Bitcoin-based ETFs in the US in January was a major success, drawing around $8 billion in assets. By late June, these nine new products had nearly $38 billion in assets, although the holdings of Grayscale Bitcoin Trust – which converted its $27 billion BTC trust into an ETF simultaneously – dipped to $17.8 billion. However, experts believe the launch of the new spot Ethereum ETFs may not be as impressive as the Bitcoin ETF debut. James Butterfill, head of research at Coinshares, noted that “Ethereum is not the same size in terms of market cap, nor does it have the same volumes” as BTC. Given the differences in market size and nature of the two cryptocurrencies, Bryan Armour, an ETF analyst at Morningstar, believes inflows may be much more muted when the Ethereum ETFs launch. “With Bitcoin, there had been pent-up demand for a decade, and investor interest was off the charts,” Armour said. “This just isn’t going to command the same excitement.” However, not everyone shares the same cautious outlook. ETH Eyes Potential Rally Toward $7,500 Quinn Thompson, the founder and CIO of Lekker Capital, has recently stated that the market is in the middle of “one of the most obvious and attractive crypto buying opportunities of recent memory.” Thompson further claimed that it was “cool” to be bullish in the past, but now, it appears that “Twitter has become a contest to see who can have the most negative ETH ETF take.” Thompson further noted: Personally, I think ETH will reach $7,000 and BTC will make its first attempt at $100,000 by the election in November. The Glassnode co-founders also shared a bullish price analysis for Ether, stating that if investors look at Ether’s history, similar patterns are developing as in the early stages of the 2021 bull market. They believe the current structure gives a target of around $7,500 as a final high for Ether, mirroring the Fibonacci extension seen in 2021 and implying a strong rally in Ether “soon!” Related Reading: Dogecoin Profitability Rises To 75% As Shiba Inu Plunges To 52% While caution remains regarding the possibility of further price declines, experts argue that such a scenario would require a new exogenous event to occur. Overall, market sentiment is leaning towards Ethereum reaching $7,000 and Bitcoin’s first attempt at $100,000. At the time of writing, ETH was trading at $3,460, up more than 3% over the past 24 hours as the broader market recovers from the corrections seen over the weekend and into the beginning of the week. Featured image from DALL-E, chart from TradingView.com
Bitwise’s Chief Investment Officer (CIO) Matt Hougan recently discussed the inflows the US Spot Ethereum ETFs could attract. Specifically, he stated how much could flow into these funds in their first 18 months of trading. Spot Ethereum ETFs To Record $15 Billion In First 18 Months Of Trading Hougan mentioned in a note to investors that the Spot Ethereum ETFs could record $15 billion in net inflows in their first 18 months of trading. He elaborated on how he arrived at these figures to show that it wasn’t just a guess. First, Hougan highlighted the market capitalizations of Bitcoin and Ethereum and stated that he expects investors to allocate to their respective exchange-traded products (ETPs) in proportion to their market caps. Related Reading: Spot Bitcoin ETFs See 7 Consecutive Days Of Outflows, Here’s What Happened Last Time Hougan noted that US investors have, so far, invested $56 billion in Spot Bitcoin ETPs and expects that figure to reach $100 billion or more by the end of 2025, when these funds should have matured further and be approved on platforms like Morgan Stanley and Merrill Lynch. Using this as a reference, Bitwise’s CIO stated that the Spot Ethereum ETFs would need to attract $35 billion in assets to stay on par with the Bitcoin ETFs, which he believes could take about 18 months to happen. Hougan also highlighted that the Spot Ethereum ETFs will already have $10 billion in assets upon launch, thanks to the Grayscale Ethereum Trust (ETHE), which will convert to an ETF on launch day. Therefore, Hougan noted that the Spot Ethereum ETFs are now left with $25 billion in inflows to reach parity with the amount of inflows the Spot Bitcoin ETFs are expected to reach by 2025 year-end. Hougan then highlighted data from the international ETP markets to show that investors may be allocating to Bitcoin and Ethereum ETPs roughly in line with their market caps. Using The International Markets As A Point Of Reference According to Hougan, Bitcoin and Ethereum ETPs in Europe hold €4,601 and €1,305 in assets under management (AuM), which translates to 78% and 22% of the aggregate available funds in both markets. Similarly, Bitcoin and Ethereum ETPs in Canada have $4,942 CAD (77%) and $1,475 CAD (23%) respectively. Related Reading: Crypto Research Firm Says Bitcoin Crash Below $60,000 May Not Be The End, Here’s Why Working with Ethereum’s ETP market share in Canada, Hougan estimated that the US Spot Ethereum ETFs could also get 22% of the US market. Based on this, Hougan lowered the estimate of net inflows for the Spot Ethereum ETFs from $25 billion to $18 billion, excluding Grayscale’s assets. Hougan eventually lowered the estimated net inflows to $15 billion by factoring in the fact that a significant portion of the flows into the US Spot Bitcoin ETFs are related to carry trades. He removed $10 billion of carry trade-related AuM from the Bitcoin market, lowering his estimates for Bitcoin from $100 billion to $90 billion and for the Spot Ethereum ETFs from $18 billion to $15 billion. Featured image created with Dall.E, chart from Tradingview.com
In a significant development for the cryptocurrency market, asset managers are eagerly preparing for the launch of new spot Ethereum ETFs, pending approval from the US Securities and Exchange Commission (SEC). Bitwise Chief Investment Officer (CIO) Matt Hougan has weighed in on the potential of these ETFs, predicting substantial inflows into the regulated market within the first months of trading. Market Data Suggests $15B Demand For Spot Ethereum ETFs Hougan’s projections are based on a thorough analysis of available data. He emphasizes that there is no need for speculation when estimating the demand for spot Ethereum ETFs. Instead, Hougan points to the existing market data to support his forecast of $15 billion in net inflows during the initial 18-month period. To arrive at this estimate, Hougan compares the relative market capitalizations of Bitcoin (BTC) and Ethereum (ETH). As a starting point, he expects investors to allocate to Bitcoin and Ethereum exchange-traded products (ETPs) roughly in proportion to their market capitalizations. Related Reading: 10x Your Crypto Portfolio: Top Analyst Highlights 4 Altcoins To Buy Bitcoin’s market cap currently stands at $1,266 billion, representing 74% of the combined market, while Ethereum’s market cap is $432 billion, accounting for 26% of the combined market. Considering US investors already have around $56 billion invested in spot Bitcoin ETPs, Hougan anticipates reaching $100 billion or more by the end of 2025 as these ETFs mature and gain approval on prominent platforms such as Morgan Stanley and Merrill Lynch. Using this $100 billion benchmark, he suggests that spot Ethereum ETFs would need to attract $35 billion in assets to achieve parity, which he estimates will take approximately 18 months. However, Hougan acknowledges that the actual inflows may differ due to various factors. For instance, the Grayscale Ethereum Trust (ETHE) is expected to convert to an ETP on the launch day, bringing along $10 billion in assets. Factoring this in, the estimated net inflows to reach parity would be around $25 billion. Analysis Of International ETF Markets To validate his estimates, Hougan looks at international ETF markets, particularly Europe and Canada, which already offer Bitcoin and Ethereum ETFs. The asset split between the two cryptocurrencies in these markets is similar, according to Hougan, with Bitcoin ETPs accounting for approximately 78% and Ethereum ETPs representing around 22% of the total Assets Under Management (AUM). This alignment with market cap breakdowns strengthens Hougan’s earlier estimate. Hougan also considers the potential impact of the “carry trade” on Bitcoin and Ethereum ETP markets. While a significant fraction of US Bitcoin ETP flows are linked to the carry trade strategy, he highlights that the Ethereum ETP carry trade is not profitable for institutions. To maintain a conservative estimate, Hougan removes the $10 billion carry-trade-related AUM when sizing the Bitcoin market, leading to a revised estimate of $15 billion in net inflows for Ethereum ETPs. Related Reading: Analysts Battle Over Cardano’s Next Move: 12,000% Rally Or 50% Crash? In sum, Hougan believes that while there are several factors to consider and potential adjustments to the model, a starting point of $15 billion in net new demand for spot Ethereum ETFs within the next 18 months is a reasonable projection. At the time of writing, ETH was trading at $3,405, up nearly 3% in the past 24 hours, after hitting a low of $3,230 on Monday. Featured image from DALL-E, chart from TradingView.com
A letter from Consensys states that the SEC’s approval of spot Ether exchange-traded funds indicated that it had “updated its position to classify ETH as a commodity and not a security,” but not everyone agrees.
Following the launch of its Bitcoin Option Yield Strategy ETF, YieldMax has filed for an Ether Option Income Strategy ETF.
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The post Spot Ether ETFs Set to Launch, Expected to Increase Volatility appeared first on Coinpedia Fintech News
Spot ether exchange-traded funds are expected to start trading in the US this year, leading investors to brace for increased volatility in the price of ether compared to bitcoin. Ether Volatility on the Rise Since April, the 30-day implied volatility index for ether (ETH DVOL) has increased compared to bitcoin (BTC DVOL). This spread, now …
Ether’s potential move to $10,000 would result in a 194% price increase from the current levels, but ETH continues struggling to break the $4,000 mark.
Terraform Labs plans to sell key projects within the Terra ecosystem and give the community control of the Terra blockchain.
In a significant regulatory shift, the US Securities and Exchange Commission (SEC) partially approved the long-awaited Ethereum ETF filings submitted by prominent asset managers three weeks ago, including BlackRock and Grayscale. SEC Chairman Gary Gensler has indicated that full approval for these Ethereum ETFs could come by the end of the summer, providing much-needed clarity […]
Venture capital firm Paradigm has reportedly raised $850 million for its third fund, supporting early-stage cryptocurrency initiatives led by Coinbase co-founder Fred Ehrsam and ex-Sequoia Capital partner Matt Huang. Increased Venture Capital Interest In The Industry Paradigm’s previous investments include prominent projects like decentralized exchange (DEX) Uniswap and Optimism, a scaling solution for the Ethereum blockchain. According to Bloomberg, with the capital raised in the latest funding round, Paradigm aims to contribute to early-stage crypto work and plans to prioritize such projects in the future. Related Reading: Solana On-Chain Indicators Suggests A Return Of Bullish Sentiment, Is It Time To Buy SOL? The latest fundraising comes after Paradigm’s notable achievement in 2021 when it secured a $2.5 billion fund, the largest-ever crypto investment vehicle at that time. The current surge in interest and confidence within the venture capital community towards the crypto industry has led to increased funds focused on cryptocurrency strategies. Paradigm’s fundraising success reflects the growing market appetite for crypto investments. Recent developments, such as the introduction of Bitcoin ETF and the impending approval of ETFs centered around Ethereum, have fueled the industry’s expansion. Hivemind Capital Joins Paradigm In Venture Funding Race Paradigm is not the only venture firm seeking to raise funds within the crypto space. Hivemind Capital, for instance, is actively raising a specialized $50 million non-fungible token (NFT) fund. Hack VC, which previously announced a $150 million fund, is also exploring opportunities to raise over $100 million for another investment vehicle. These initiatives highlight the increasing interest and confidence in the potential of the crypto industry from venture capitalists. While Paradigm faced criticism, including temporarily removing cryptocurrency references from its website, the firm rectified the situation and reaffirmed its commitment to the industry. Fred Ehrsam transitioned from managing partner to general partner at the firm in October, further solidifying Paradigm’s dedication to fostering crypto innovation. Despite setbacks, Paradigm continues to support crypto projects actively. Recently, the firm led an investment round in Merkle Manufactory, a company responsible for developing software infrastructure for the Farcaster social media network. The funding round valued Merkle Manufactory at approximately $1 billion, underscoring Paradigm’s ongoing belief in the potential and value of the crypto industry. Related Reading: Memecoin Fight: DADDY Surpasses MOTHER Despite Insider Trading Activity Allegations Overall, Paradigm’s successful fundraising efforts for its third fund demonstrate investors’ continued interest and confidence in supporting early-stage cryptocurrency projects. In recent months, the crypto industry has experienced a consistent outflow of funds, resulting in a decline in the total market capitalization from its yearly peak of $2.7 trillion to the current level of $2.3 trillion. The dominant cryptocurrency in the market has been the primary driver of the recent price drops. It is currently valued at $66,700 and has experienced a 3% decrease within the past 24 hours. Similarly, Ethereum has also declined, with its price dropping by 4% to approximately $3,475. Featured image from DALL-E, chart from TradingView.com
Some analysts had predicted that spot Ether ETFs could start trading on U.S. exchanges by the end of June, but the SEC has yet to set an exact date.
Following the recent price spike that brought Ethereum (ETH) close to the $4,000 mark, the second-largest cryptocurrency has experienced inflows and renewed market enthusiasm. This comes in response to the US Securities and Exchange Commission’s (SEC) approval of Ethereum ETF applications by major asset managers. Best Week For Ethereum Since March According to a report by CoinShares, digital asset investment products have witnessed a total of $2 billion inflows, contributing to a five-week consecutive run of inflows amounting to $4.3 billion. Additionally, trading volumes in exchange-traded products (ETPs) have risen to $12.8 billion for the week, a 55% increase from the previous week. Notably, inflows have been observed across various providers, indicating a turnaround in sentiment. Incumbent providers have also experienced a slowdown in outflows, reinforcing the positive market sentiment. Related Reading: Solana Searching For Direction: Will SOL Break Free Or Fall Flat? As seen in the image above, Bitcoin (BTC) continues to dominate the market, with inflows totaling $1.97 billion for the week. On the other hand, short Bitcoin products saw outflows of $5.3 million for the third consecutive week. Similarly, Ethereum has also seen a notable surge in inflows, recording its best week since March with a total of $69 million, which for CoinShares is likely a reaction to the unexpected SEC decision to allow spot-based ETFs on Ethereum. Differing Perspectives On ETH’s Price Despite the positive developments, Ethereum’s price has struggled to maintain bullish momentum, failing to retest its yearly high of $4,100 reached in March. On Friday, the price dropped as low as $3,577. However, Ethereum addresses holding more than 10,000 ETH have increased by 3% in the past three weeks, indicating a significant spike in buying pressure. Related Reading: Major Bitcoin Metric Breaks 3-Month Downtrend Amid Bullish Network Recovery Market analysts have provided differing perspectives on Ethereum’s future price action. “Trader Tank” predicts that ETH may drop to $3,500 while acknowledging the potential for a bullish reversal upon reclaiming the $3,700 level. On the other hand, crypto analyst Lark Davis highlights that Ethereum’s supply on exchanges is at an eight-year low, suggesting that the upcoming ETFs could cause a “massive supply shock” and potentially lead to a substantial increase in ETH’s price. Ultimately, as Ethereum’s price remains uncertain, market participants eagerly await the next movements in the cryptocurrency. As investors and analysts closely monitor the market dynamics, the question of whether a breakout above $4,000 or a retest of lower support levels at $3,500 awaits an answer. The second-largest cryptocurrency on the market is currently trading at $3,690, down 6.5% in the past two weeks. Featured image from DALL-E, chart from TradingView.com
The post Hong Kong to Add Staking to Spot ETH ETFs appeared first on Coinpedia Fintech News
The Animoca Brands Chairman has said that Hong Kong asset managers are working to include staking in the spot ETH ETFs to get the staking feature award approved this year. Hashkey is also formulating a proposal to introduce ether staking. Blocdaemon is in talks with Hong Kong ETF issuers and custodians to explore the possibility …
According to a Bloomberg report, analysts suggest that the debut of the recently approved Ethereum ETFs in the US may generate significantly less demand than spot-Bitcoin products. Major financial institutions, including BlackRock and Fidelity, await final approvals from the Securities and Exchange Commission (SEC) to list the long-awaited Ethereum funds. However, JPMorgan strategists anticipate much […]
This decision does not affect the ongoing collaboration between 21Shares and ARK Invest on other projects like the ARK 21Shares Bitcoin ETF launched in January.
Franklin Templeton sets a 0.19% management fee for its upcoming Ethereum ETF, as SEC reviews the updated S-1 form submissions.
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Experts say BTC and ETH derivatives will be instrumental in integrating crypto to TradFi and sending each to new all-time highs.