The wait for a spot Ethereum ETF in the US might be nearing its end. BlackRock, the world’s largest asset manager, has recently filed a revised S-1 form with the Securities and Exchange Commission (SEC) for its iShares Ethereum Trust. This filing is a significant step toward gaining approval for the ETF to trade publicly.
The U.S. Securities and Exchange Commission (SEC) had already given its nod to BlackRock’s 19b-4 filing, setting the stage for this new financial product. Bloomberg ETF analyst James Seyffart pointed out that BlackRock’s revised S-1 form indicates a constructive dialogue between the issuer and the SEC, marking progress toward the approval of spot Ethereum ETFs.
Another prominent Bloomberg analyst, Eric Balchunas, expressed optimism about this development. He viewed it as a positive sign for the market, suggesting that other filings might soon follow. Balchunas estimated a realistic possibility for a launch by the end of June, although a more conservative estimate places approval around July 4th.
BlackRock Affiliate Buys $10M Shares
In its revised statement, BlackRock disclosed that an affiliate agreed to buy $10 million worth of shares on May 21, 2024. This purchase included 400,000 shares priced at $25.00 each. The updated filing also indicated that these shares would be listed and traded under the ticker symbol “ETHA.”
Despite the news about the potential launch of a spot ETF, Ethereum’s price did not get an immediate boost. ETH slid by 0.91% on Wednesday, trading at $3730, but it held above 50-day and 200-day EMAs, which still suggest bullish signals.
For ETH to gain momentum, it needs to break above $3,840, which could push it toward the $4,000 mark and potentially reach the high of $4,091 seen in March. Conversely, a fall below $3,730 could indicate a slide toward the $3500 support level. Interestingly, the 14-period Daily RSI reading currently sits at 64.51, suggesting there’s room for ETH to reach $4,000 before entering overbought territory.
With BlackRock’s revised S-1 filing and the potential for a June launch, the prospects for a US spot Ethereum ETF are looking brighter than ever. Whether it’s a late-June debut or a July 4th launch, the ongoing discourse on increased accessibility to Ethereum in the US market seems nearing its conclusion.
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