According to recent reports, the likelihood of approval for applications to create Ethereum-based exchange-traded funds (ETFs) remains low, estimated at less than 30%. Analysts at Bloomberg express doubts that the U.S. Securities and Exchange Commission (SEC) will grant permission for the launch of these products on the American market by the end of May this year.
In anticipation of a potential postponement of the launch of Ethereum ETFs, institutional investors have begun withdrawing capital from existing funds managing ETH assets. According to CoinShares, more than $14 million was withdrawn from such funds just last week. However, despite this, the overall capital inflow into the crypto market from May 4 to May 10 amounted to approximately $144 million.
Amid the prospect of postponing the launch of ETH ETFs, investors have also been exploring investment opportunities in other cryptocurrencies, such as Litecoin (LTC), Solana (SOL), and XRP. According to the CoinShares report, the largest amount of capital flowed into funds focused on Bitcoin, and investments in products related to Solana increased by nearly $6 million over the week.
The situation in the Ethereum market continues to attract interest among large institutional and private investors who are seeking the most promising avenues for allocating their assets amid the current uncertainty in the cryptocurrency market.
