Yesterday (23), the SEC announced that it will delay the decision on the Ethereum spot ETFs proposed by two major investment management companies, BlackRock and Grayscale. Standard Chartered Bank also revised its previous prediction in the latest report, stating that the approval of an Ethereum spot ETF is unlikely.
Standard Chartered Bank’s latest report from its investment department suggests that the U.S. Securities and Exchange Commission (SEC) may reject the approval of an ETF that allows investors to trade Ethereum spot. It is worth noting that this statement contradicts Standard Chartered’s previous optimistic prediction. The bank had previously predicted that the SEC would approve the Ethereum spot ETF in May this year, but their position has now reversed.
Geoff Kendrick, a currency analyst at Standard Chartered Bank, wrote in the report:
Standard Chartered: Bitcoin to reach $150,000 by the end of the year, Ethereum to surpass $8,000
Despite the market being filled with unfavorable news, Standard Chartered Bank still believes that the negative factors affecting Bitcoin and Ethereum are already reflected in the current trading prices. The bank reiterates its year-end price target of $150,000 for Bitcoin and predicts $8,000 for Ethereum.
As of the report’s release, the trading prices for Bitcoin and Ethereum were $66,800 and $3,237 respectively, leaving approximately 225% and 250% room for growth.
In addition, regarding the phenomenon of reduced inflows of funds into Bitcoin spot ETFs, Standard Chartered analysts also predict that as ETFs are included in more portfolios, “positive structural driving factors” will regain dominance and drive the next wave of buying.
Lastly, regarding the severe volatility faced by Bitcoin on April 13 due to geopolitical tensions arising from Iran’s attack on Israel, Standard Chartered analysts remain optimistic as they believe the market positioning is now clearer than ever.
BlackRock and Grayscale’s Ethereum ETF deliberations face further obstacles
Furthermore, on yesterday (23), the SEC announced that it will delay the decision on the Ethereum spot ETFs proposed by two major investment management companies, BlackRock and Grayscale.
According to the SEC’s notice, the deliberation on Grayscale’s ETH Trust, which was originally set to expire on April 24, for the conversion into spot ETH trading products listed on the New York Stock Exchange Arca, has been extended by 60 days, with the new deadline set for June 23. The SEC stated that more time is needed to consider the amended versions of these applications, especially after the first amendment.
However, the SEC’s delay is in line with market expectations, so it did not cause significant volatility for Ethereum.