Will an Ethereum ETF pass? — (must read)
The pie is strong because Satoshi Nakamoto has disappeared, and SOL is strong because SBF has entered, so ETH?
The recent performance of ETH is indeed not very strong, and there was not much reaction after the Cancun upgrade was completed. Whether the subsequent Ethereum ETF drives ETH is critical.
What is ETF
ETF is the abbreviation of Exchange Traded Funds. Its full name in Chinese is "traded open-end index fund", also known as "exchange-traded fund".
ETF is an open-end index fund listed and traded on an exchange. It combines the advantages and characteristics of stocks, open-end index funds and closed-end index funds. It is an efficient index investment tool. Just like buying and selling stocks, you can buy and sell ETF shares directly through brokerage trading software, and the price of the ETF will fluctuate around the real-time net value of the ETF.
Ethereum ETF estimated time
As the second largest asset in the cryptocurrency market, Ethereum’s price fluctuations and the progress of related financial products have attracted much attention. Currently, the U.S. Securities and Exchange Commission (SEC) plans to make decisions and approve five Ethereum spot ETFs before the end of May, but it may be postponed to August to make a final decision.
This was a decision predicted by most market analysts. Analysts at JPMorgan Chase (JPM) said in a recent report that there is no more than a 50% chance that the SEC will approve an ETH-based ETF by May. Delays to Ethereum ETF spot proposal may 'continue to occur occasionally' in coming months
The Bitcoin ETF came to market after more than a decade of fighting with the SEC, which for years was unwilling to relent due to concerns about potential market manipulation. So what exactly does it take to get an Ethereum ETF listed?
I personally think that the Bitcoin spot ETF has started and is nothing more than going through the process again.
According to a survey on whether the Ethereum ETF will be approved, market observers are generally optimistic and expect the possibility to be high. The trading volume of Bitcoin spot ETF on U.S. stock exchanges, and the attention and expectations of Ethereum ETF have also increased. Although there are some uncertainties, such as the SEC may need to first clarify the non-security status of Ethereum, overall, the probability of Ethereum ETF approval is considered relatively high.
Summarize
The total amount of ETH is deflationary, and only on-chain transactions can achieve continuous destruction. If the Ethereum ETF is passed, it may usher in a wave of positive gains in the short term, which will divert the on-chain transaction volume for a long time. In the long run, it will do more harm than good.
Regardless of the good or the bad, the rule of thumb for the bull market is: Never fill up your position. If there is a big rise, there will be stocks, and if there is a big fall, you can cover your position.
Let’s make a fortune together in the bull market💪
