ETHEREUM SPOT ETF: Everything You Need To Know Right Now.

INTRODUCTION.

The Ethereum(ETH) spot ETF has been garnering some attention lately after Blackrock’s Larry flinch made it known that it was interested in the ETHEREUM SPOT ETF not long after the Bitcoin spot ETF was Approved. By now the term spot ETF is not new so how about we head right into the topic. 

ETHEREUM SPOT ETF 

Ethereum after the approved and now traded Bitcoin spot ETF now has the attention of an ETHEREUM SPOT ETF turned in its direction. This was due to an event where the CEO of Blackrock publicly backed the ETH spot ETF.  In response to this ETH’s price quickly rallied up to a staggering $2710. A price we have not seen in over a year. If you are the one that pays close attention,  then you would have noticed something. Bitcoin was also backed by Blackrock around June last year. This event brought so much hype and FOMO. Bitcoin rallied up to 44k before it was approved. And after it was approved, we saw a break above 45k and towards 48k. As market analyzers we study patterns and structures: this current Ethereum ETF will most likely follow this pattern and we could see ETH break above the 3k levels should the hype around the ETF continue. 

WHAT DOES THE ETHEREUM SPOT ETF MEAN FOR ETH AND HOLDERS?

Things look even more bullish for ETH when you compare and contrast its performance to that of BTC. Eth has been looking weak to BTC for some months. Just about 2 weeks ago it seemed to have begun a reversal that could take ETH much higher than BTC. We could be seeing a much better performance from ETH, pumping for weeks and even months.

ETHBTC is forming an ascending triangle pattern, traditionally seen as a bullish signal. We may see the price ascending from the rising lower trendline, which has been providing robust support, towards the flat upper trendline, maintaining the rhythm of the pattern which is a continuation of the trend. 

       We are all in a very happy mood for an Ethereum ETF. Also note that there could be some delay. SEC plans on approving it by may.

SEC chair Gary gensler said the need for a spot ETF is not of a proper clarity to him. We have seen the SEC delay both Fidelity and Blackrock spot ETF. 

   WHAT ARE THE CHNACES OF A SUCCESSFUL ETH spot ETF

 Ethereum spot ETF is less likely to pass. One of the reasons is because of fewer Ethereum applications. 7 ETH applications compared to 11 BTC applications. This could mean a lack of demand for the need to use an ETH spot ETF. sidenote we know the Ethereum futures ETF was a flop. It speaks to some degree what we could see with the spot ETF. 

Furthermore, an ETH spot ETF may not pass because the SEC Chair Gary has not made his stand clear on ETH being a security. However  he did make a post on the same day as the Ethereum merge back in September 2022. Gary stated that Proof Of Stake(POS) cryptocurrencies could be securities because they offer staking services which bring staking yields.  

follow CRYPTO HUSTLE for more updates on ETHEREUM SPOT ETF.

JP Morgan says the ETH spot ETF will not pass as long as the SEC did not come out boldly to declare ETHEREUM as not a security. Matter of fact they are even insinuating that the SEC might come out to say the opposite… you guessed right; that Ethereum is a security. 

Conclusion

As good as the Ethereum spot ETF looks for Ethereum and its holders, there is a possibility it might not see the light of day. This is quite sad but could also not happen and we may see it approved in may this year or delayed further and then approved. I can’t say for certain but understand that nothing in this article is financial advice(NFA).