Ethereum ETF Probably Delayed To 2nd Week of July or Later By SEC

• 1 The U.S. Securities and Exchange Commission has provided feedback on the S-1 filings and has called for them to be resubmitted by July 8.
• 2 This could postpone the debut of the spot Ether exchange-traded fund.

In its latest communications, the U.S. The Securities and Exchange Commission returned the S-1 documents to the entities proposing Ethereum ETFs. It indicated a continuation of the review process prior to being effective.

Earlier, the Ethereum ETF was anticipated to be launched by June 2nd. However, the recent remarks made by the SEC could further delay the process. As of now, the applicants are required to revise their submissions in response to the SEC’s comments and resubmit by July 8.

The recent development hints at a probable extension of the approval timeline, necessitating an additional round of filing before the ETFs can be listed officially and commence trading.

Additional Delays Loom Likely in Making Decisions

However, the SEC has set a deadline for the resubmission of the applications for the Ethereum ETFs. Few  analysts believe the delay in the commencement of Ethereum ETFs could last longer.

Nate Geraci, the president of the ETF Store, mentioned in his tweet that July 8th might be the most likely for spot ETF approval. However, he added that it could be later in July or this summer, pointing towards the further delay that might be on the horizon.

Decoding The Two-Step Process For Ethereum ETF

The Ethereum ETF approval was a dual-stage process in which approval of S-1 forms was a later process or the second step. Previously, in May, the initial phase was completed with the approval of the 19b-4 documents by the issuers. 

On May 23, the SEC gave the green light to 19b-4 submissions from eight contenders for ETFs. In contrast to the 19b-4 documents, there is no fixed deadline for the S-1 documents, which means the issuers must wait for the SEC to complete its review.

The SEC has ratified a regulatory amendment, enabling prominent issuers such as BlackRock, Fidelity, 21 Shares, Grayscale, Franklin Templeton, VanEck, iShares, and Invesco to engage in the approval process. The recent comments by the SEC might have delayed the whole process to July 8th or later this month, as per a few analysts.  

What’s Ahead For Ethereum?

Despite the news surrounding the Ethereum ETFs, the price of Ethereum did not witness any hiccups. As of now, Ethereum has been exchanging hands for close to $3385, recording mild intraday gains of 0.33%. 

The daily chart reveals that the Ethereum price has been trying to stabilize near the 50-day exponential moving average. Despite short-term weakness, the long-term trend outlook is still positive. 

The ETH price was undergoing a correction phase following a declining channel pattern. It may continue to show weakness until the price remains in the channel. 

However, a breakout above the recent resistance of $3487 could mark the end of a correction, and the ETH price may roar toward the $3800 and $4000 levels again. 

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto or stock comes with a risk of financial loss.

Andrew Smith

Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages ​​and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.