- Standard Chartered predicts SEC approval for an Ethereum ETF by May 23, drawing parallels with the approval of Bitcoin ETFs.
- The financial institution anticipates Ethereum’s price to surge by nearly 70%, reaching the $4,000 mark if the ETF is approved.
In a recent analysis, Standard Chartered’s research team, led by Geoff Kendrick, has voiced optimism regarding the potential approval of an Ethereum exchange-traded fund (ETF) by the U.S. Securities and Exchange Commission (SEC) by May 23. This approval could have a significant impact on Ethereum’s price, potentially propelling it to $4,000. This bullish outlook draws parallels to the SEC’s approach to Bitcoin ETFs, suggesting a similar trajectory for Ethereum.
The research team at Standard Chartered has outlined compelling reasons behind their optimism regarding the SEC’s approval of an Ethereum ETF. They anticipate that the recent approval of Bitcoin ETFs by the SEC will have a substantial market impact, with expected inflows of $50–100 billion in 2024, possibly reaching $130 billion. The bank believes that the market is underestimating the chances of the SEC differentiating between ETH and Bitcoin, seeing no clear reason for such differentiation.
ETH’s Unique Position
One of the key factors contributing to the positive outlook for Ethereum is its existing presence in the futures market. Ethereum futures are already trading on the Chicago Mercantile Exchange (CME), providing a level of regulatory familiarity. Additionally, ETH is not classified as a security in the SEC’s ongoing Ripple case. These factors, coupled with the potential ETF approval, could position Ethereum to outperform Bitcoin as the approval date approaches.
As of the latest data, Ethereum (ETH) is trading at $2,337, reflecting a 1.28% increase in the past day and a 4.54% increase in the past week. This performance underscores the growing anticipation surrounding the potential ETF approval and its potential impact on Ethereum’s price.
