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Crypto ETF 2024 Launch: Bitcoin by January, Ethereum Awaits May

Published 26/10/2023, 12:21
© Reuters Crypto ETF 2024 Launch: Bitcoin by January, Ethereum Awaits May
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  • Market experts expect a spot Bitcoin ETF approval no later than January 10, 2024.
  • Speculation also arises about spot Ethereum ETFs potentially debuting as early as May 2024.
  • JPMorgan analysts share a similar prediction, expecting SEC approval for multiple spot Bitcoin ETF applications.

The much-anticipated arrival of a spot Bitcoin exchange-traded fund (ETF) in the United States is on the horizon, with market experts predicting that it could become a reality by no later than January 10, 2024.

In a recent discussion on Unchained Crypto, James Seyffart, market analyst at Bloomberg Intelligence, and Matt Hougan, CIO at Bitwise Asset Management, shared their optimistic prediction that a spot Bitcoin ETF will likely launch before January 10, 2024. Analysts at JPMorgan shared the same prediction in a report stating that the SEC will likely approve multiple spot Bitcoin ETF applications “within months.”

The exact timing for regulatory approval remains uncertain, but it’s expected to occur within the coming months and quite possibly before the January 10 deadline, which is set for the Ark Invest and 21Shares’ spot BTC ETF application.

To date, the U.S Securities and Exchange Commission (SEC) has not given the green light to any spot Bitcoin ETFs, citing concerns related to fraud and market manipulation. Even so, recent legal developments have given hope to those eagerly awaiting a spot BTC ETF.

Many industry experts had speculated the commission would reconsider pending ETF applications following its loss to Grayscale in court in August. On October 13, the SEC chose not to appeal a court ruling that found it acted arbitrarily and capriciously in denying an application to convert the Grayscale Bitcoin Trust (GBTC) into an ETF. Legal experts argue that this decision effectively cleared the path for the approval of Bitcoin ETFs.

Amid the enthusiasm surrounding spot BTC ETFs, the market experts have also made speculations that spot Ethereum ETFs might make their debut as early as May 2024. Seyffart noted:

If we do get spot Bitcoin ETFs like we’re expecting by January 10, there are active spot ethereum ETF filings, and if those [spot BTC ETFs] launch, I don’t see how the SEC could find a way to deny those at some point later in 2024, likely by May.

For the unlearned, crypto ETFs, such as a spot Bitcoin ETF, offer a way for investors to gain exposure to cryptocurrencies, like Bitcoin, without actually owning the digital assets. In the U.S., seven major firms, namely BlackRock, WisdomTree, Invesco Galaxy, Valkyrie, Bitwise, VanEck and Fidelity, have applied with the SEC to launch ETFs.

The post Crypto ETF 2024 Launch: Bitcoin by January, Ethereum Awaits May appeared first on Coin Edition.

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