Eric Balchunas, a senior Bloomberg ETF analyst, has predicted that the launch of spot Ethereum ETFs could occur by late June, a significant development in the cryptocurrency market. This forecast comes on the heels of BlackRock's recent amendment to its Form S-1 filing for the iShares Ethereum Trust, submitted to the U.S. Securities and Exchange Commission (SEC) on May 29.

The amendment follows the SEC's approval of BlackRock’s 19b-4 filing nearly a week earlier, marking essential steps for the ETF to commence trading. In a May 29 post on X (formerly Twitter), Balchunas remarked, “Good sign. [Probably] see rest roll in soon.” He suggested that there might be another round to “fine tune” SEC comments but considers an “end of June launch [a] legit possibility.” However, he also noted that an approval by July 4 remains more likely, with an earlier approval being a “long shot.”

James Seyffart, another Bloomberg ETF analyst, echoed Balchunas’ optimism, interpreting BlackRock’s updated S-1 filing as a sign of substantial engagement between issuers and the SEC, indicating progress toward the launch of spot Ethereum ETFs.

The amended S-1 filing from BlackRock included details about its seed capital investor, who funds the ETF’s initial trading activities. According to the filing, on May 21, a BlackRock affiliate firm agreed to purchase $10 million in shares, receiving 400,000 shares at $25.00 per share. The ETF will list and trade under the ticker “ETHA.”

In contrast to BlackRock’s progress, Hashdex, another firm seeking to launch a spot Ether ETF, withdrew its bid on the same day, despite receiving SEC approval alongside BlackRock and seven other issuers.

Industry analysts predict that the introduction of these ETFs will drive Ethereum (ETH) prices to new highs. Some speculate that Wall Street will leverage these financial products as a strategic investment in the growth of web3 technologies. Sumit Gupta, Co-founder of CoinDCX, described the SEC's approval of spot Ether ETFs as a "watershed moment for the crypto industry."

He noted that it builds on the success of Bitcoin ETFs, providing a secure and regulated method for investors to access Ether. Gupta stated, "This broader acceptance will fuel mainstream adoption and reflect a maturing regulatory environment, paving the way for further legitimizing the entire digital asset space."

Gupta highlighted the historical precedent set by Bitcoin, which rose from $42,000 to over $73,000 in the two weeks following the ETF's trading debut on January 11. He added, “Similarly, it is anticipated that a spot Ether (ETH) ETF could drive an [Ethereum] rally of as much as 60%.”

However, not all predictions are optimistic. Some analysts warn that ETH could face price pressure due to potential outflows from the Grayscale Ethereum Trust (ETHE) following its conversion and the narrowing of its discount. This scenario could result in $110 million of average daily outflows for several weeks, impacting ETH’s market performance.

The impending launch of spot Ethereum ETFs represents a pivotal moment for the crypto market, promising to enhance investor access and potentially drive significant price movements in the coming months.