SUI Spot ETF approval has been delayed again by the SEC, and the market is awaiting the implementation of universal listing standards.

The U.S. Securities and Exchange Commission (SEC) has once again delayed its approval decision for the 21Shares Spot SUI ETF, seeking more time to collaborate with major exchanges such as Nasdaq, the New York Stock Exchange, and CBOE BZX to develop a universal listing standard for spot crypto assets ETFs. This move has led to a fall in the price of SUI. Although the SEC has extended the final decision deadline to December 21, analysts predict that with the establishment of universal listing rules, ETFs for alts like SUI may receive approval in October alongside other applications. Currently, the price of SUI is consolidating around $3.33, and technical indicators suggest it may face further pullback, but in the derivation market, a slight rebound in open interest also provides some support for the price.

SEC has once again delayed the approval of the 21Shares SUI ETF

The U.S. Securities and Exchange Commission (SEC) has delayed its decision on the 21Shares Spot SUI ETF, which is another altcoin spot ETF facing a longer wait time, as the securities regulator is working with major exchanges to establish a universal listing standard for spot Crypto Assets ETFs.

According to the latest filing by the SEC, the agency has extended the time to decide whether to approve or deny the 21Shares Spot SUI ETF. This move indicates that the committee is initiating procedures to determine whether the proposed rule change should be approved or not. Notably, on May 23, Nasdaq submitted an application to the SEC requesting the listing and trading of shares of the 21Shares SUI ETF under the rules for commodity-based trust shares.

On July 22, the SEC designated a longer period to approve the proposed commodity rule changes for the ETF. In response, the committee has initiated procedures to decide whether to approve the SUI ETF. The SEC stated: "The committee requests stakeholders to provide written opinions, data, and arguments on the above issues and any other concerns they may have regarding the proposal." The final deadline for the SEC to approve the 21Shares SUI ETF is December 21. However, the committee may approve this ETF along with other alts ETFs in October.

SEC is quietly developing universal listing standards

The trading platforms such as Nasdaq, New York Stock Exchange, and CBOE BZX are quietly collaborating with the SEC to establish universal listing standards for Spot Crypto Assets ETFs. These exchanges submitted amendments today to their "Commodity-Based Trust ETP Universal Listing Standards." The amendments aim to remove "excluded commodities" from the definition of "commodities" in the listing standards. Nate Geraci, co-founder of the ETF Institute, expects these universal listing rules to come into effect in early October. He believes that the final deadline for existing Spot Crypto ETF applications is the reason behind this timeline.

SUI price remains strong, but the technical indicators are under pressure

(Source: TradingView)

The price of SUI has fallen by nearly 0.5% in the past 24 hours, currently trading at $3.33. The lowest and highest prices in the past 24 hours were $3.24 and $3.36, respectively. Additionally, trading volume has decreased by 15% in the past 24 hours, indicating a decline in trader interest. On the daily chart, the price continues to operate below the 50-day moving average (MA) and the 100-day moving average. The price may fall again and find support at the 200-day moving average at $3.14. If this support level is broken, it could trigger a price drop below $3. The relative strength index (RSI) has risen to 45, suggesting potential upside.

CoinGlass data shows that there has been buying in the derivatives market over the past few hours. The total open interest for SUI futures has decreased by 2% in the last 24 hours to $1.82 billion. However, the open interest for SUI futures has rebounded by an average of 0.75% across major crypto assets exchanges.

Conclusion

The SEC's decision to delay the 21Shares Spot SUI ETF once again reminds the market that, despite the approval of the Spot Bitcoin ETF, the road for altcoin ETFs remains challenging. However, this delay is not entirely bad news; it also indicates that the SEC is actively collaborating with exchanges to establish a clear and standardized regulatory framework for the entire crypto market. Once this framework is implemented around October, SUI and other altcoin Spot ETF applications may be processed together, opening the door for these assets to mainstream investment channels. Before that, the price of SUI may continue to fluctuate, but the long-term bullish outlook still depends on the development of its ecosystem and the eventual clarity of the regulatory environment.