ProShares and VanEck withdrew their Ethereum futures ETF applications that could indicate an imminent BTC futures ETF approval, according to Bloomberg analysts. The United States US Securities and Exchange Commission (SEC) might finally approve a Bitcoin futures ETF in the coming two months.
The Bloomberg strategists outlined the recent withdrawals of Ethereum futures ETF applications as the main reason behind their optimism.
This topic of whether or not the United States watchdog will greenlight an exchange-traded fund tracking the performance of the primary crypto has been discussed for several years within and outside the digital assets community.
While other countries like Brazil and Canada have already launched these products, the SEC has appeared to remain quite reluctant so far. It is not like there have not been many applications, on the contrary, some firms like VanEck have even filed multiple times. But, the Commission has rejected nearly all of these applications so far.
Nonetheless, there is high optimism from all over including from crypto insiders like Grayscale’s CEO – Michael Sonnenschein. Eric Balchunas, Bloomberg’s senior ETF analyst, and BI ETF analyst James Seyffart think that a bitcoin exchange-traded fund in the United States might be approved sooner than many people know.
In a recent note, the two executives highlighted a possible probability that a “bitcoin futures ETF will be launched by [the] end of October.”
Ethereum ETF Withdrawals Are Critical
As far as this reasoning goes, the two strategists think that the recent development in terms of ETH futures ETF filings may turn the tables in the Commission. ProShares and VanEck filed documents with the SEC in the past week to release exchange-traded funds that track the biggest altcoin, Ethereum, only two days later, though, both asset managers withdrew their applications.
According to Balchunas and Seyffart, the withdrawal may turn out to be the key for a bitcoin futures ETF:
“VanEck and ProShares’ rapid withdrawal of proposals for Ethereum futures ETHs is a good sign for a potential Bitcoin futures ETF, given the SEC has allowed those filings to remain active. A launch could come as soon as October, as we believe the SEC should permit several at once to avoid handing out the first-mover advantage.”