As the deadline for the SEC’s decision on spot Ethereum ETFs approaches, traders are preparing for potential outcomes. Despite widespread skepticism about approval, some experts suggest an unconventional trading strategy that could leverage market reactions.
SEC’s Decision on Ethereum ETFs: Approval or Rejection?
With just days remaining until the SEC must decide on spot Ethereum ETFs, the prevailing sentiment is pessimistic. Bloomberg Intelligence analyst Eric Balchunas predicts no approval before 2025, and some betting platform even shows only a 14% chance of approval by the end of May.
What to Expect for Ethereum Price Prediction?
Despite the expected rejection, strategic traders believe this event could trigger bullish price action for Ethereum. Some even argue that the market has already priced in the likelihood of rejection, and a “sell the rumor, buy the news” scenario could unfold.
Several factors could impact Ethereum’s response to the SEC’s decision. Strategists highlight the SEC’s lack of engagement with ETF issuers, Ethereum’s unclear regulatory status, and ongoing investigations into the Ethereum Foundation. These issues contribute to the anticipated rejection but also create potential for unexpected market movements.
Current Market Analysis
The SEC has until May 23 to decide on VanEck’s application for a spot Ethereum ETF. As of now, Bitcoin is trading at around $61K, and Ethereum at $2,9K. These prices reflect the market’s cautious stance ahead of the regulatory decision.
While the market consensus leans towards the rejection of the Ethereum ETF applications, strategic traders see the potential for bullish outcomes. By anticipating market overreactions to the expected news, savvy investors could find profitable opportunities.
Source: https://cryptoticker.io/en/sec-decision-ETH-ETF-what-expect-9-days