Cathie Wood of Ark Invest believes the approval of an Ethereum ETF is tied to U.S. politics, and that a Solana ETF is a possibility.

ARK Invest CEO Cathie Wood He said cryptocurrencies had become a key political issue in the US elections, leading to the unexpected approval of major legislation. Ethereum (Cryptocurrency: ETH) ETF Application.

what happenedWood made the comments at Consensus 2024, where he attributed the sudden approval of the Ethereum ETF application to the growing importance of cryptocurrencies in the US election debates, as reported by CoinDesk.

Wood expressed surprise at the bill's approval, saying, “It was expected that it would not pass. It definitely would not pass,” explaining that emotions were building in the House of Representatives around the Financial Innovation and Technology Act of the 21st Century (FIT21), which led to its recent bipartisan approval.

Wood also spoke with former President Donald Trump's Growing confidence in Bitcoin and other cryptocurrencies, particularly the recent decision to accept campaign donations in cryptocurrency, has focused attention on the sector.

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Wood said, Solana (CRYPTO: SOL) ETF may be approved, but large brokerages and investment advisory firms won't accept anything more than a “major” one, she said, and she thinks a fund focused on meme coins likely won't be approved.

Why is this important?Wood's comments follow her previous predictions about the potential of cryptocurrencies in particular. Bitcoin (Cryptocurrency: ETFs). In April 2024, she raised her Bitcoin prediction by $2.3 million, suggesting that a $1,000 investment could become a significant amount by 2030.

Despite Ethereum's recent attention due to its ETF approval, Wood maintained his bullish view on Bitcoin, saying, “Bitcoin is indisputable. There's no question about it. It's a global monetary system. It's a technology. It's a new asset class.”

Earlier this week, she also highlighted how El Salvador’s push into Bitcoin and AI could see a tenfold increase in its GDP within five years.

ARK 21Shares Bitcoin ETF BATS:ARKB attracted $4 million in inflows on May 29, according to SoSo Value, and has attracted roughly $3 billion in inflows since the ETF began trading in January.

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