The cryptocurrency market is watching closely as the U.S. Securities and Exchange Commission (SEC) is set to make its final decision

The U.S. Securities and SEC (SEC) is set to make its final decision on the Canary Litecoin ETF today, May 5.

Litecoin (CRYPTO: LTC) has a 90% chance of ETF approval, according to the latest odds from Bloomberg, placing it ahead of other altcoins being considered for similar investment vehicles.

What Happened: As the SEC is expected to announce its verdict on the Canary Capital's Litecoin ETF, analysts are keeping a close eye on the developments.

According to the latest data from Bloomberg, Litecoin stands at 90% odds for ETF approval. For comparison, XRP has 85% chances, Dogecoin 80%, and Cardano 75%.

"If any asset has a chance of early approval it's Litecoin IMO," said Bloomberg ETF strategist James Seyffart, adding that, "Personally think a delay is more likely."

The Canary Capital's Litecoin ETF proposal was initially filed on October 15, 2024, while Nasdaq submitted a 19b-4 filing for a similar product on January 16, 25.

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The SEC also has pending proposals for Litecoin ETFs from Grayscale and CoinShares, with a decision deadline of October.

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The LTC price is currently trading at around $87, having recently broken out of its multi-year resistance line after months of consolidation. Trading volumes have also surged by 31% to more than $338 million in recent sessions, showcasing renewed interest in the cryptocurrency.

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The optimism in the market comes as Seyffart noted that the SEC has been delaying decisions on several crypto ETFs, but it has yet to postpone the decision on the Canary Funds' Litecoin proposal.

"The @CanaryFunds Litecoin ETF filing is due for a decision (possibly a delay) by Monday 5/5. SEC went early & delayed a bunch of filings but not this. If any asset has a chance of early approval it's Litecoin IMO. Personally think a delay is more likely but def something to watch," Seyffart stated on Twitter.

Litecoin's 90% approval odds place it ahead of competing altcoin ETF proposals, with XRP at 85%, Dogecoin at 80%, and Cardano at 75%.

"Would love to hear directly from Atkins, but all good chance of happening. Here’s our latest odds of approval for all the dif spot ETFs via @JSeyff," Balchunas added.

Analysts attribute these favorable odds to Litecoin's unique attributes and regulatory history compared to other cryptocurrencies. Despite the market optimism, Seyffart personally expects that a delay for the Litecoin ETF remains the most likely outcome.