The U.S. Securities and Exchange Commission is expected to issue a decision soon on the proposed Litecoin exchange-traded fund filed by Canary Capital.
As of May 5, the SEC’s designated deadline for a decision, Canary’s Capital application has not been delayed. Unlike other crypto-related filings which have seen multiple delays, this raises speculation about a potential early response.
Bloomberg ETF analyst James Seyffart noted the unusual timing in a May 5 post on X, highlighting that the SEC has already moved to delay several filings but not this one. “If any asset has a chance of early approval, it’s Litecoin,” he said, though he still considers a delay more likely.
The Litecoin (LTC) ETF proposal was filed on Jan. 16 through Nasdaq’s 19b-4 process, which allows exchanges to request changes to list new products. The SEC, under Acting Chairman Mark Uyeda officially acknowledged the filing on Jan. 29, starting the formal review process. This step was a key turning point, as past attempts to launch ETFs tied to smaller cryptocurrencies had been discouraged under previous SEC leadership.
As of May 5, Litecoin is trading at about $87, with slight increases of 0.9% over the previous day and almost 10% over the previous two weeks. The daily chart shows a steady recovery from April lows, with the price holding above the 50-day moving average at $82.87. The relative strength index is at 56, indicating space for upward momentum without being overbought, while the Bollinger Bands are widening, indicating rising volatility.
The volume is steady but moderate, showing ongoing interest as opposed to transient hype. Support levels are located close to $82 and $78, and a close above resistance at $90 may mark a strong upward trend reversal. Although the outcome is still unknown, Litecoin’s market performance might improve if the ETF is approved. Traders are watching the SEC’s next move closely.
