Standard Chartered Bank anticipates that the U.S. Securities and Exchange Commission (SEC) will approve ether ETFs this week, as the first round of spot ether ETF deadlines approaches. VanEck's application deadline is on May 23, followed by Ark Invest/21Shares on May 24.

Geoff Kendrick, Head of FX Research and Digital Assets Research at Standard Chartered Bank, expressed high confidence in an interview with The Block, stating he is "80% to 90%" certain that ether ETFs will be approved this week. Kendrick also provided an estimate on the potential market impact of such an approval. "After approval, we estimate that spot ETFs will drive inflows of 2.39-9.15 million ether in the first 12 months after approval," Kendrick said. "In U.S. dollar terms, that equates to roughly $15 billion to $45 billion."

Kendrick compared these projections to similar inflows observed with bitcoin ETFs, which have proven accurate in their market predictions. He also noted that the approval of spot ether ETFs could help ether maintain its price ratio with bitcoin for the remainder of 2024. Based on current trends, Kendrick expects bitcoin to reach $150,000 by the end of 2024, implying an ether price of approximately $8,000.

Standard Chartered's bullish outlook extends further, with Kendrick reiterating a previous price target for ether. "Given our estimated bitcoin price level of $200,000 by the end of 2025, this would imply an ether price of $14,000 by the end of 2025," he said, reaffirming the bank's March forecast.

The potential approval of ether ETFs gained further credibility on Monday when the SEC requested updates to 19b-4 filings for spot ether ETFs, signaling progress towards approval. Despite these optimistic signs, Kendrick cautioned that approval is not guaranteed.

Following the SEC's request, Bloomberg ETF analysts James Seyffart and Eric Balchunas raised their probability estimate for SEC approval of ether ETFs from 25% to 75%. This increased optimism reflects the industry's anticipation of a favorable decision.

In reaction to these developments, ether's price surged by over 19% in the past 24 hours, reaching $3,719 at 6:49 a.m. ET, according to The Block’s Price Page. The GM 30 Index, which tracks the top 30 cryptocurrencies, also saw a significant increase of 9.25%, rising to 148.75 during the same period.

As the crypto market awaits the SEC's decision, the potential approval of spot ether ETFs represents a significant milestone. It would provide a regulated, accessible means for investors to gain exposure to ether, potentially driving substantial capital inflows and further legitimizing the cryptocurrency within mainstream financial markets.