In recent news, two new Ethereum exchange-traded funds (ETFs) have been added to the expanding list of cryptocurrency investment options. Despite this positive development, the price of Ethereum (ETH) continues to exhibit a bearish trend. These new ETFs offer investors an opportunity to gain exposure to the growing popularity of ETH without directly owning the digital asset. However, market experts suggest that the downward pressure on ETH price may be attributed to various factors, such as market uncertainty and regulatory concerns. As the cryptocurrency market remains volatile, investors are advised to exercise caution and conduct thorough research before considering these new investment avenues.
Two new Ethereum futures ETF applications have been submitted to the U.S. Securities and Exchange Commission. The proposals, filed by ARK Invest and 21Shares, introduce the “ARK 21Shares Active Ethereum Futures ETF” (ARKZ) and the “ARK 21Shares Active Bitcoin Ethereum Strategy ETF” (ARKY).
The crypto market has witnessed a surge in Ethereum ETF applications recently, with at least 16 pending requests for Ethereum and mixed Ethereum and Bitcoin ETFs. Although the SEC has rejected all spot Bitcoin ETF applications, the decision dates for these new filings are set for mid-October, indicating a potentially significant month for crypto news.
The first ETF awaiting a decision is Valkyrie, with a hybrid fund consisting of BTC and ETH, scheduled for October 3 or 4. Shortly after, Volatility Shares is set to release the first pure Ethereum futures ETF around October 12. It seems that numerous issuers are keen on offering crypto exposure, as commented by Nate Geraci, President of ETF Store, who believes that spot ETFs may be just around the corner.
Bloomberg’s ETF analyst, James Seyffart, shares the sentiment, stating that offering crypto exposure should be a priority for firms in the industry. Despite the potential lack of immediate profitability, having a crypto ETF on the menu is crucial for establishing a reputation in the market.
Ethereum Prices Experience a Downturn
In contrast to the exciting ETF developments, the price of ETH has been less favorable. Currently trading at $1,659, Ethereum has experienced a 1% decline and has returned to price levels observed in February. Over the past two weeks, the asset has dropped by more than 10%, slipping from its long-term support at $1,850. Although it has found solid support at $1,600, this level may be compromised if Bitcoin, its counterpart, continues to experience downward price movements.
**Title 1: Two New Ethereum Futures ETF Applications Filed by ARK Invest and 21Shares**
On August 24, ARK Invest and 21Shares collaborated to submit two Ethereum futures ETF applications to the U.S. Securities and Exchange Commission (SEC). The proposed ETFs, named “ARK 21Shares Active Ethereum Futures ETF” (ARKZ) and “ARK 21Shares Active Bitcoin Ethereum Strategy ETF” (ARKY), aim to offer investors exposure to the Ethereum market.
**Title 2: Ethereum Futures ETF Race Intensifies, with Potential Adoption in Mid-October**
As the race for Ethereum futures ETFs heats up, the number of pending applications continues to rise. The SEC has received at least 16 proposals for Ethereum and mixed Ethereum and Bitcoin ETFs. With several decision dates scheduled for mid-October, investors and crypto enthusiasts eagerly await any positive developments from the SEC, indicating a potential shift in their regulatory stance.
With the introduction of these new Ethereum futures ETF applications, ARK Invest and 21Shares are demonstrating their commitment to providing investors with diversified investment options in the growing crypto market. While spot Bitcoin ETF applications have faced rejection from the SEC, the companies remain hopeful that the regulatory environment may become more favorable.
Notably, Valkyrie is expected to be the first ETF awaiting a decision, with its hybrid fund consisting of BTC and ETH. Valkyrie’s fate will be revealed in the first week of October. Following closely, Volatility Shares is set to launch the first-ever pure Ethereum futures ETF in mid-October, targeting investors seeking exposure solely to the Ethereum market.
ETF industry experts, such as Nate Geraci, President of ETF Store, express their enthusiasm for the increasing number of issuers entering the ETF space. Geraci believes that spot ETFs might be just around the corner, reinforcing the potential adoption of cryptocurrencies in traditional investment portfolios.
Bloomberg’s ETF analyst, James Seyffart, echoes this sentiment, emphasizing the importance for firms to offer crypto exposure in their product lineup. Seyffart believes that having a crypto ETF, even if it may not generate immediate profits, is a necessary step for firms looking to establish themselves as leaders in the crypto market.
While the Ethereum futures ETF race gains momentum, the price of ETH seems to be facing challenges. Ethereum’s value has declined by approximately 1% and has returned to price levels observed in February. Over the past two weeks, ETH has experienced a significant drop of more than 10%, falling from its long-term support level of $1,850. Despite finding support at $1,600, this level may be at risk if Bitcoin’s price continues to decline.
In conclusion, the introduction of two new Ethereum futures ETF applications by ARK Invest and 21Shares signals the increasing demand for regulated investment products in the crypto market. With the SEC’s decision dates approaching and the potential adoption of Ethereum and mixed Ethereum and Bitcoin ETFs, the crypto industry is eagerly awaiting any positive developments that may pave the way for broader institutional participation in the market.