Ethereum (ETH) quotes rose 17% after positive news about its possible approval as a security in a U.S. exchange-traded fund (ETF).

Eric Balchunas, a senior analyst at Bloomberg, significantly raised the odds of approval from 25% to 75%. Balchunas suggests that the SEC may be pressured to speed up the approval process. The SEC may urge exchanges to reconsider their ETF applications, which could indicate a more open position.

Final approval is contingent on individual fund (S-1) registrations, which are pending. The SEC examines whether Ethereum’s move to Proof-of-Stake (PoS) classifies Ether as a security, which could affect ETF approval. The S-1 review process could delay ETF approval beyond the May 23 deadline set by VanEck.

QCP Capital analysts forecast a potential short squeeze if the ETF is approved, which could take ETH back to its March 12 highs of $4,066.

Overall, the news caused a significant rise in Ethereum’s price. However, uncertainty surrounding the SEC’s final approval and classification of Ether as a security remains.