Bitwise Amends Spot Ethereum ETF Application Amid Trading Rumours for Next Week

By Jody McDonald July 04, 2024 In Cryptocurrency, ETF, Ethereum
  • Bitwise yesterday submitted an amended S-1 form for its Ethereum spot ETF application, sparking speculation we could see ETFs begin trading within two weeks.
  • Investors and analysts are hopeful the launch of the Ethereum ETFs could inject some confidence back into the crypto markets.
  • Research firm K33 says the launch of ETFs will see ETH’s value soar relative to Bitcoin’s over the next few months.

‘What’s happening with those Ethereum spot ETFs?’ I hear you ask, no doubt hopeful that their launch will add a little more green colouration to your battered crypto portfolio. 

Well, there has been some recent movement—one of the prospective issuers, Bitwise, submitted an amended S-1 form yesterday, a move which has been interpreted by market analysts as a sign that ETF listings might be just around the corner.

As for whether these ETFs might spur a rally in the crypto markets, there’s some good news on that front too. Crypto research firm K33 recently published a market update predicting that the ETFs could be a catalyst for Ether price action, possibly even leading to a resurgent alt-coin market.

Related: Analysts Forecast $15 Billion in Net Inflows to Ethereum ETFs by 2025 

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Ethereum ETFs Could Start Trading Within 2 Weeks, Say Analysts

On the social media platform X, Bloomberg ETF analyst, James Seyffart, posted about Bitwise’s amended S-1 submission, saying it indicates we could see the ETFs start trading as early as next week or perhaps the week starting July 15:

UPDATE: We’ve got another amended S-1 from @BitwiseInvest for their #Ethereum ETF. Expect more from other issuers throughout the rest of the week. We’re thinking these things could potentially list later next week or the week of the 15th at this point.

James Seyffart, Bloomberg ETF Analyst

However, Seyffart added later in the thread that he wasn’t very confident in this prediction, pointing out the SEC had been unusually slow approving the S-1 applications for the Ethereum spot ETFs:

Bloomberg’s senior ETF analyst, Eric Balchunas, also weighed in on X, saying that nobody’s sure what the delay is on these S-1 approvals, claiming they could easily have been approved and trading by now. But he remains confident they will be approved this month:

ETF Listings Could Be Catalyst For ETH Rally

According to a market update from crypto research firm K33 published Tuesday, the launch of the Ethereum spot ETFs will see ETH’s value soar relative to Bitcoin in the coming months. 

K33 says that although the market may have a “sell the news” moment when the ETFs first launch, as it did when the Bitcoin ETFs launched, the firm expects the ETFs to absorb about 1% of circulating ETH. This would create positive supply dynamics and give the smart contract platform relative strength for the next several months.

As K33’s senior analyst, Vetle Lunde explained:

ETFs are a solid catalyst for relative ETH strength as the summer progresses and flows accumulate, and I firmly view current ETH/BTC prices as a bargain for the patient trader.

Vetle Lunde, K33

Related: Analyst Declares Altcoin Season Has Arrived: Explore His Top Coin Picks 

Meanwhile crypto market watcher, Michaël van de Poppe, said on X on July 2 that we’re heading into full blown alt-season, claiming:

Altcoins are the cheapest in three years! You might wonder whether we’ll be having a bull market for altcoins ever again. I think it’s on the horizon.

Michaël van de Poppe, CIO & Founder MN Trading Consultancy

Jody McDonald
Author

Jody McDonald

Jody is a Brisbane-based freelance writer who specialises in writing about business, technology, and the future of work.

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