Following the U.S. Securities and Exchange Commission (SEC) confirmation of Spot Ethereum ETF certification, a number of commentators offered their opinions regarding the possible launch of ETFs for other altcoins. Additionally, Geoffrey Kendrick, an analyst at Standard Chartered Bank, entered the conflict. He projected that by 2025, the SEC might consent to crypto ETFs for additional coins, such as Solana (SOL) and Ripple’s XRP.
Are Solana and XRP ETFs Going to Happen?
Although the market anticipates this development, he thinks it is unlikely to occur in 2024. The reason might be that approving an ETF takes a few stages. Therefore, even if an application is submitted immediately, the decision may be postponed until the following year.
Standard Chartered Bank’s head of research for forex and digital assets, Kendrick, had previously predicted the release of the Ethereum ETF. Furthermore, the SEC appears not to view ETH as a security, given its approval of Ether Spot ETFs on Thursday.
Kendrick proposes that this might refer to additional comparable coins, such as those in the Coinbase and XRP scenarios, which may evade being categorized as securities. Furthermore, he pointed out that it would be difficult for the SEC to handle some coins differently because their technology is similar to that of ETH.
Kendrick also referred to the political backing for cryptocurrencies in the United States as a “real watershed moment.” According to The Block report, the important question is not if but when additional regulatory changes will occur.
Forecast for ETH and BTC
In the interim, he believes that other coins may profit but that Bitcoin (BTC) and Ethereum will rule the market, particularly when looking at it through the lens of the Sharpe ratio. The analyst also maintained her projection of significant inflows into spot Bitcoin ETFs and a possible $150,000 price for BTC by year’s end.
On Thursday, May 23, the SEC they approved the 19b-4 forms for spot Ether ETFs. Eight applicants—Grayscale, Bitwise, BlackRock, VanEck, Ark 21Shares, Invesco, Fidelity, and Franklin—were approved in a single omnibus ruling. However, before trading can begin, the S-1 registrations must still be approved.
As the SEC’s recent ruling on ETH confirms, Kendrick believes that a portfolio that includes Bitcoin and Ethereum ETFs might be quite appealing. According to Kendrick, ETH ETF trading should start next month. He had already forecast that within the first year, these funds may draw inflows of $15 billion to $45 billion. Additionally, he sticks to his $8,000 year-end price prediction for ETH.
