In a May 5 post on X, Bloomberg ETF analyst James Seyffart pointed out the unusual timing, noting that the SEC has postponed several other filings but has not delayed this particular one.
He remarked that “if any asset has a chance of early approval, it’s Litecoin,” although he maintained that a delay remains the more probable outcome.
As of may 5, which marks the SEC’s scheduled deadline for a ruling, the application submitted by Canary Capital has not experienced any postponements. This contrasts with numerous other crypto-related filings that have faced repeated delays, prompting speculation about the possibility of an early decision.
Officials in the U.S. expect to announce a decision soon on the proposed Litecoin exchange-traded fund submitted by Canary Capital.
Securities and Exchange Commission.
Nasdaq Advances Litecoin ETF Proposal
On January 16, Nasdaq submitted the Litecoin ETF proposal through its 19b-4 process, which allows exchanges to request regulatory changes for listing new financial products. The SEC officially acknowledged the filing on January 29 under Acting Chairman Mark Uyeda, initiating the formal review process. This development marked a significant shift, as the agency’s former leadership had previously discouraged efforts to introduce ETFs linked to lesser-known cryptocurrencies.
As of May 5, Litecoin traded at approximately $87, marking a modest rise of 0.9% over the past day and nearly 10% over the preceding two weeks. A gradual rebound from April’s lows is evident on the daily chart, with the price maintaining a position above the 50-day moving average of $82.87. The relative strength index, recorded at 56, suggests potential for upward movement without entering overbought territory, while the expanding Bollinger Bands indicate increasing market volatility.
Trading volume remains stable yet moderate, reflecting sustained investor interest rather than short-term excitement. Key support zones lie near $82 and $78, while a close above the $90 resistance level could signal a significant bullish trend reversal. Although the final decision remains uncertain, traders could see Litecoin’s market outlook strengthen if the SEC approves the ETF. Traders are closely monitoring the SEC’s upcoming action.
