- Bloomberg analysts predict a US Spot Ethereum ETF approval on July 23, with trading to follow soon after.
- BlackRock CEO Larry Fink emphasised Bitcoin’s portfolio importance, leading analysts to view betting against crypto ETFs as unwise.
- Traders are bullish on ETH, showing higher volatility and trade volumes compared to BTC, partly due to anticipated US Spot ETF launches.
The road to a Spot Ethereum exchange-traded fund (ETF) in the US has been a long and winding one, but it seems we will soon be arriving at our destination. Bloomberg analysts think we will see a move next week – they believe you can pencil in July 23 for approval, which will be followed by trading.
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Interestingly that’s all happening while the Bitcoin conference will be on, so, no doubt a big week for crypto.
According to Bloomberg Senior Analyst Eric Balchunas, July 23 is the day the Securities and Exchange Commission (SEC) has asked applicants to hand in final S-1 forms including the fees they want to charge.
Betting Against Funds “Dumb” Says Analyst
Balchunas also commented on BlackRock CEO Larry Fink appearing on CNBC recently to discuss Bitcoin’s importance as an asset. BlackRock, one of the largest companies and asset managers in the world, offers the most successful of all Bitcoin ETFs in the US – iShares IBIT. According to data from Farside, the fund now holds an impressive US$18.2bn (AU$26.9bn) worth of Bitcoin or 316,276 BTC.
Fink highlighted the importance of BTC in any portfolio, which Balchunas said gives advisors to “boomers” the “comfort and cover to make the allocation”. Balchunas said betting against the success of these crypto ETFs was not a wise move.
That’s why betting against, or minimizing the clear-to-anyone-with-eyes-and-a-brain early success of, these ETFs has been and will be dumb IMO.
Eric BalchunasReport Says Traders More Bullish on ETH Than BTC
And it seems traders are also anticipating the launch. According to a report by crypto exchange Bybit and BlockScholes, future-implied yields have partially recovered but still trend downward over the month.
ETH options show a 10–15 point volatility premium over BTC, faster recovery in volatility skew, and higher trade volumes in calls.
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It seems that traders favour ETH over BTC, with ETH derivatives’ “different positioning when compared to BTC”, which may be tied to expectations around the US ETF launch. The report added this comes as ETH’s volatility premium and increased realised volatility are longstanding trends.
Bybit’s Head of Institutions, Eugene Cheung commented on the findings:
The latest data underscores ETH’s resilience and market appeal as we approach key regulatory milestones. Investors are demonstrably positioning themselves favorably amidst growing market expectations.
Eugene Cheung
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