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The filing has generated interest in the crypto market, with analysts and investors watching to see if the ETF could drive further price growth for SUI.
Canary Capital’s SUI ETF Filing and Regulatory Process
According to Eric Balchunas, a Bloomberg ETF analyst, Canary Capital submitted an S-1 registration statement with the SEC, marking a step toward launching a spot ETF for SUI crypto.
Before this, the firm registered a statutory trust for the ETF in Delaware, a step commonly taken before submitting an official application.
The company is now expected to file a 19b-4 document, which would begin the regulatory approval process.
The asset manager has been actively pursuing crypto-based ETFs in recent months. In addition to SUI, the firm has filed for ETFs tracking Dogecoin (DOGE), Solana (SOL), and XRP.
The SEC’s approach to approving spot crypto ETFs has been a topic of interest, with market participants watching closely to see whether additional digital assets beyond Bitcoin and Ethereum will receive approval.
World Liberty Financial’s Role and Institutional Interest
World Liberty Financial recently announced a partnership with the Sui blockchain, stating that it would add SUI assets to its Macro Strategy Fund and explore new product development opportunities.
The DeFi platform has been associated with Donald Trump and his sons, making its crypto-related moves a subject of political and financial discussions.
The inclusion of SUI in an institutional fund could increase its credibility among larger investors.
If the SEC approves the ETF, it would offer a regulated investment option for institutions looking to gain exposure to SUI without directly holding the asset.
This could lead to increased liquidity, attracting more market participants.
Canary Capital’s decision to file for a SUI ETF shortly after WLFI’s announcement suggests that institutional interest in SUI is growing.
This development aligns with a broader trend of asset managers seeking to provide institutional-grade exposure to digital assets.
Market Reaction and SUI Crypto Price Movement
SUI’s price responded positively to the ETF filing, rising approximately 3%, according to CoinGecko data.
Earlier in the month, when WLFI announced its Sui partnership, SUI’s price surged by over 10%.
At press time, SUI crypto was trading at $2.42, with a market capitalization exceeding $7.6 Billion and a daily trading volume of nearly $762 Million.
Ted Pillows, a cryptocurrency trader, noted that SUI is forming an inverse head and shoulders pattern, a technical indicator that could signal a strong breakout.
He also noted that once SUI surpasses $2.45, it might see rapid upward movement.
Crypto analyst Dami-Defi pointed out that SUI has found a prominent support level, and an increase to the upside can trigger a large movement.
The filing of an ETF could in turn help increase confidence within the market, thereby encouraging the demand for the token.
If approved, the ETF would make SUI more liquid and available for more investors on the market.
Institutional involvement in the ownership of an asset is usually a positive factor in ensuring that there is less fluctuation in the price of the particular asset while increasing its use in the long run.
Market players are now waiting for more updates on regulations to find out whether SUI will maintain the bull run.