The SEC’s decision deadline for spot Ethereum ETF applications falls on October 2. Approval would allow institutional investors to gain direct exposure to ETH through regulated financial products, potentially driving inflows into Ethereum, Layer-2 solutions like Arbitrum and Optimism, and liquid staking protocols such as Lido and Rocket Pool. Rejection or delays could trigger short-term sell-offs and uncertainty for ETH traders. Market participants will watch for regulatory reasoning regarding investor protections, market manipulation risks, and broader adoption implications. This event is a critical moment for Ethereum’s institutional legitimacy and may influence the trajectory of crypto ETFs in general, affecting sentiment and trading activity across the Ethereum ecosystem.