Bitwise researcher Ryan Rasmussen believes there’s a 50% probability that spot Ethereum ETFs will achieve approval within the coming months.
Rasmussen shared his insights on the chances throughout a Feb. 26 interview with Yahoo Finance. He mentioned:
“I definitely don’t know if the market is essentially at a degree that the SEC wish to see with a purpose to approve these spot [Ethereum] ETFs this Might. I believe it’s a couple of 50/50 % probability that we’ll see approval or we’ll see rejection and kick it out to a different … spherical of functions sooner or later.”
Different sources, together with Bitwise International Head of Analysis Matt Hougan, beforehand predicted near 50% odds that spot ETH ETFs will achieve approval in Might. In the meantime, the chances for approval are barely decrease on the Polymarket web site at 41%.
The SEC has to determine on VanEck’s spot Ethereum ETF software by the Might 23 deadline and is anticipated to determine on the opposite functions concurrently because it did with the spot Bitcoin ETFs.
Rasmussen additionally mentioned that the US SEC didn’t approve Bitcoin ETFs till Grayscale initiated a lawsuit regarding dismissing its software. He added that it’s unsure whether or not an analogous lawsuit is likely to be crucial for ETH ETFs.
Moreover, it’s unclear whether or not any applicant may file a lawsuit at this stage of the method.
Bitwise believes ETFs will drive costs upward
Bitwise doesn’t presently have a pending spot Ethereum ETF software however was one in all a number of candidates that gained approval for a spot Bitcoin ETF in January.
Rasmussen famous that Bitwise is “tremendously comfortable” with the success of Bitcoin ETFs. He mentioned that the agency has seen $1 billion in property movement into its personal Bitwise Bitcoin ETF (BITB) and that the ETFs have collectively seen greater than $15 billion in asset movement.
Rasmussen additionally predicted that spot Bitcoin ETFs and different funds will drive up crypto costs as beforehand “sidelined” institutional traders purchase in. He mentioned:
“When we have now that type of demand shock coming into the market, I believe it’s no shock that we’ve seen the value of Bitcoin rise … I believe will probably be the identical for Ethereum or different property if there have been different ETFs to return to markets.”
Rasmussen additionally described different occasions impacting the crypto market, together with Bitcoin’s upcoming halving, Ethereum’s upcoming Dencun improve, NFT buying and selling volumes, and Solana’s worth development.
He prompt that crypto is “rising from the ashes” of the weak 2022 market and is coming into a multi-year bull cycle. Rasmussen concluded by restating Bitwise’s earlier worth predictions and mentioned that the flagship crypto continues to be on monitor to achieve a brand new all-time excessive of not less than $88,000 by the top of 2024.
Ethereum Market Knowledge
On the time of press 12:59 am UTC on Feb. 27, 2024, Ethereum is ranked #2 by market cap and the value is up 1.62% over the previous 24 hours. Ethereum has a market capitalization of $380.76 billion with a 24-hour buying and selling quantity of $17.28 billion. Study extra about Ethereum ›
Crypto Market Abstract
On the time of press 12:59 am UTC on Feb. 27, 2024, the overall crypto market is valued at at $2.08 trillion with a 24-hour quantity of $86.28 billion. Bitcoin dominance is presently at 51.41%. Study extra in regards to the crypto market ›