An exchange-traded fund (ETF) tracking both Bitcoin and Ether is expected to be the first in a “wave” of new United States crypto funds in 2025, senior Bloomberg ETF analyst Eric Balchunas said.
“We expect a wave of cryptocurrency ETFs next year, albeit not all at once,” Balchunas posted to X on Dec. 17, sharing an analysis from fellow ETF analyst James Seyffart.
The duo anticipates the first new Bitcoin (BTC) and Ether (ETH) combo fund to be followed by ETFs tracking Litecoin (LTC) or Hedera (HBAR).
Seyffart noted that the Securities and Exchange Commission rejected multiple Solana (SOL) ETFs on Dec. 7, adding that SOL and XRP (XRP) ETFs would have to wait until President-elect Donald Trump’s SEC chair pick takes control before they will be “seriously considered.”
Source: Eric Balchunas
Balchunas highlighted that regulators view Litecoin and Hedera more favorably, which is the reason the two analysts say they may get ETFs before larger market-cap assets like XRP and Solana.
Litecoin is more likely to be green-lighted because it is a fork of Bitcoin and may be viewed as a “commodity,” he said.
Hedera has not been labeled as a security by the SEC, which makes it easier for an exchange-traded product to receive approval.
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XRP and SOL have been labeled as securities by the SEC, with Ripple having been engaged in a years-long legal battle with the agency over the legal status of XRP.
While the analysts see HABR and LTC as having higher odds of approval, they said it’s still unclear whether the funds will see much investor demand.
Many crypto pundits expect the SEC under Trump’s administration to be more receptive to crypto assets.
Trump recently said he intended to nominate pro-crypto businessman and former SEC commissioner Paul Atkins as the next SEC chair, which legal experts say may bring de-regulation amid a more pro-crypto policy.
Current SEC Chair Gary Gensler announced that he would resign from the agency on the day of Trump’s inauguration on Jan. 20, while fellow Democratic commissioner Jamie Lizarrage said he would be stepping down days before that on Jan. 17.
On Dec. 17, SEC Commissioner Caroline Crenshaw had her renomination vote canceled, opening up the possibility of four Trump-aligned and crypto-friendly commissioners.
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