In a recent statement, Nikolaos Panigirtzoglou, JPMorgan’s head of research, pointed out that the deadline for a decision on the first Ether exchange-traded fund bid is in May. He also stated that the probability of approval for this application is no more than 50%.
“We all understand that for the SEC to approve spot Ethereum ETFs, they would need to classify this asset as a commodity, similar to Bitcoin, and not as a security. I don’t want to make a definitive statement, but I wouldn’t give more than a 50% chance of the regulator recognizing ETH as a commodity,” Panigirtzoglou noted.
He further mentioned that many anticipate Ethereum to follow in the footsteps of Bitcoin and soon have its own ETFs after the approval of spot Bitcoin ETFs. However, Panigirtzoglou believes it is premature to anticipate the emergence of such funds, as the regulator has repeatedly stated that it considers all cryptocurrencies, except Bitcoin, to be securities.
Previously, JPMorgan analysts predicted that ether would perform better in 2024 compared to 2023.