Cryptocurrency market maker GSR has lowered the estimated approval rate for the May Ethereum spot ETF to 20%

ChainCatcher news, GSR analyst Brian Rudick stated in a report on Wednesday that the likelihood of the SEC approving a spot Ethereum ETF this May is 20%, a significant downgrade from GSR's January prediction of a 75% probability.

The analyst noted that the SEC is under some political pressure to refrain from approving more digital asset ETFs, and the investigation into whether Ethereum qualifies as a security could greatly diminish the chances of approval. The regulatory body may seek to avoid turning the potential approval of a spot Ethereum ETF into "another major spectacle."

Regarding future expectations, the analyst believes that any approval process for a spot Ethereum ETF may take longer and could be influenced by some litigation events, now estimating that a spot Ethereum ETF is most likely to be approved between 2025 and 2026.