The unexpected approval of the Ethereum ETF by the US SEC has sparked a flurry of questions regarding the credibility of the political narrative surrounding the decision. Bernstein analysts have noted a significant decrease in the credibility of the narrative, citing President Joe Biden's rejection of the SAB 121 repeal as a key factor.

The rejection of SAB 121, a bill aimed at repealing the Securities and Exchange Commission's (SEC) authority to regulate digital assets, has led many to question the motivations behind the SEC's approval of the Ethereum ETF. The analysts argue that Biden's refusal to repeal SAB 121 indicates a more pragmatic decision by the SEC to avoid legal disputes and maintain its regulatory authority.

The approval of the Ethereum ETF has been met with widespread skepticism, with many questioning the SEC's ability to effectively regulate the digital asset market. The analysts believe that the SEC's decision is a clear indication of its willingness to adapt to the changing landscape of the digital asset market, rather than a sudden shift in its stance on regulation.

The credibility of the political narrative surrounding the approval of the Ethereum ETF has been further eroded by the SEC's recent actions. The agency has been criticized for its lack of transparency and consistency in its regulatory approach, leading many to question the motivations behind its decisions.

In conclusion, the approval of the Ethereum ETF by the US SEC has raised significant questions regarding the credibility of the political narrative surrounding the decision. The rejection of SAB 121 and the SEC's refusal to repeal it have led many to question the motivations behind the approval, and the analysts believe that the SEC's decision is a clear indication of its willingness to adapt to the changing landscape of the digital asset market.