The U.S. Securities and Exchange Commission (SEC) is expected to give its spot Bitcoin  ETF decision today Jan. 10, with the market hopeful about approval.

This historic event could have wide-ranging implications on the crypto market, including the second-largest cryptocurrency, Ethereum (ETH).

How will Ethereum benefit from a positive BTC ETF decision?

This is because the entry of a spot Bitcoin ETF into the market would mark a regulatory precedent paving the way for other crypto ETFs.

The reasoning is that a Bitcoin ETF approval would likely involve establishing a framework that could be applicable to other cryptocurrencies, including Ethereum.

Last month, the SEC postponed its decision on a number of Ethereum ETF applications in the U.S. pushing the decision date to May 2024.

This includes the Grayscale Ethereum Futures ETF, the spot Ethereum ETF lodged by Cathie Wood's ARK Invest and 21Shares,,Hashdex Nasdaq Ethereum ETF, and the VanEck spot Ethereum ETF.

Many analysts view the delays as part of the SEC's process, which involves gathering public opinion before deciding whether these ETFs should be allowed.

Nonetheless, they also appear amid the regulator's attempt to categorize some proof-of-stake (PoS) cryptocurrencies as securities.

Notably, the commission did not name Ethereum as a security in any of its recent lawsuits targeting crypto exchanges. The SEC has also not challenged Ethereum's classification through the ETF registration process with the Commodity Futures Trading Commission (CFTC).

That raises the possibility of seeing a spot Ethereum ETF approved in the U.S. by May 2024, a likely boost for ETH prices.

Ethereum price bullish triangle hints at an uptrend

From a technical standpoint, ETH's price is treading above the resistance horizontal of its prevailing ascending triangle pattern ahead of the Bitcoin ETF decision.

The negative divergence from the RSI with respect to the price action suggests that the bears have not given up on sending the price lower.

A delay or denial could result in the price correction toward the triangle's lower trendline near $2,330 and later the $2,000 psychological level by February.

ETH/USD Daily Chart

On the other hand, an ETF approval may have Ethereum validate its  ascending triangle setup altogether in favor of a rising wedge reversal pattern.

The triangle's upside target is near $2,615 in the near term, up 10% from current price levels.

The upward movement of both the EMAs and the RSI added credence to this positive outlook. The price strength at 60 suggested there were still more buyers than sellers in the market.