The crypto derivatives market is suggesting continued excitement in the market regarding the potential approval of a spot Ethereum ETF by the end of May, an analyst said.

"Traders seem to be adjusting their ether options contracts with the May 23 date in mind," Bitfinex Head of Derivatives Jag Kooner told The Block.

The final approval decision deadline for spot ether ETF applications submitted by asset managers VanEck and Ark/21Shares to the U.S. Securities and Exchange Commission is May 23.

The Bitfinex Head of Derivatives highlighted a noticeable uptick in call side open interest for long-dated options for March, April and May.

"This increase has occurred primarily over the past week and, currently, the put-call ratio is heavily skewed towards the longs at 0.31," Kooner added.

A …