The CEO of CoinShares expressed doubts concerning the SEC's approval of a spot Ethereum ETF before the end of the year.

Eager to obtain approval for a spot Ethereum ETF like their successful Bitcoin counterpart earlier this year, significant players in the financial realm have been pursuing the SEC's endorsement. Nevertheless, two notable spot Bitcoin ETF issuers - VanEck and CoinShares - are skeptical about the SEC granting approval for a spot Ethereum ETF.

Potential Approval of Spot Ethereum ETF in 2024?

The U.S. SEC faces a May 23 deadline to finalize its review of a spot Ethereum ETF. In March, the SEC postponed its decision on Ether ETF applications from prominent entities such as BlackRock and Fidelity.

Speaking at a crypto event during the Paris Blockchain Week, Jan Van Eck, VanEck's CEO, lowered expectations for SEC approval. Van Eck mentioned the rigorous legal process involved in application assessment, suggesting potential rejection for Ethereum ETF applicants in May.

CoinShares CEO Jean-Marie Mognetti, discussing Ethereum's regulatory advancements in a CNBC interview, closely followed developments. Drawing parallels to their experience with Bitcoin ETF approval, Mognetti acknowledged their late participation in the race, which culminated in successful qualification before approval. However, doubts lingered regarding the swift approval for an Ethereum-based ETF.

Despite skepticism, JPMorgan foresees SEC approval for the spot Ethereum ETF, possibly beyond May. The banking giant suggests a litigation process post-May and predicts eventual SEC approval based on previous legal disputes. This outlook supports the eventual approval of spot Ethereum ETFs, albeit not as promptly as this May.

ETH Price Surge to Persist?

With Ethereum's price displaying a robust 10% weekly rebound, surpassing $3,700, recent data indicates a notable decrease in Ethereum supply on exchanges. Approximately $1.2 billion worth of liquidity has been withdrawn from the spot market, signaling bullish tendencies. If this supportive supply shock endures, ETH price could potentially climb further to $4,000.