With the SEC poised to make a crucial judgment within the next three days, the fate of the much anticipated Spot Ethereum (ETH) ETF is in the balance, and the cryptocurrency market is a flurry of anticipation. The founder of CryptoSea and well-known cryptocurrency trader Crypto Rover said that although the market expects the ETF to be rejected, Ethereum prices may already reflect this pessimistic view. Still, Crypto Rover is upbeat, speculating that approval would lead to an enormous spike in Ethereum's price, akin to the reaction of the market to the SEC's acceptance of eleven spot Bitcoin ETFs back in January.

Though there was initial hope for the ETF's clearance earlier in the year, a number of analysts have expressed rising doubt. Notably, Bloomberg ETF expert Eric Balchunas has reduced his assessment of the SEC's approval odds from 70% in January to just 35% by May. He bases this on the fact that, in contrast to the approval of the Bitcoin ETF, there are fewer optimistic indications and sources. Balchunas notes the potential of approval but emphasizes how unlikely that is given the state of the market.

Similar observations were made by James Seyffart, another Bloomberg ETF analyst, who emphasized the lack of noteworthy action from major market participants in the run-up to the SEC's May 23 decision deadline. With Ethereum's price around $3,100, down just 0.20 percent on the day, investors are nonetheless nervous about the SEC's ruling and its possible effects on the cryptocurrency industry as a whole.