Several bitcoin miners and bitcoin-adjacent stocks fell Thursday along with the broad equity markets amid continuing developments in the approval of spot Ethereum ETH +0.17% ETFs.

Late Thursday afternoon, the U.S. Securities and Exchange Commission approved eight spot Ethereum ETFs, with 19b-4 forms from BlackRock, Fidelity, Grayscale, Bitwise, VanEck, Ark, Invesco Galaxy and Franklin Templeton.

Shares in Hut 8 led the stock downturn, falling 10%, while peers such as Riot Platforms and Marathon Digital fell about 7.6% and 5.5%, respectively. MicroStrategy, which many equate as a proxy for the bitcoin price given its large BTC +0.33% supply, fell 6.2%.

Shares in several spot bitcoin ETFS fell between 3% and 4%; however, according to one sell-side analyst, the sell-offs may be a blip on the radar.

“Today’s price action…appears to be a modest retrenchment, but we continue to believe a favorable supply-demand dynamic will support an upward move [in] price in the coming months,” Mark Palmer, an equity research analyst at Benchmark, told The Block. “The approval of a spot Ethereum ETF fits into a much more positive government regulatory narrative regarding crypto in the U.S. than has been the case.”

For spot Ethereum ETFs to hit the market, the SEC needed to approve the 19b-4 form, and then S-1 registration statements must become effective before the ETFs can begin trading.

A source told The Block that they anticipate it will take multiple rounds of the S-1s going back and forth between the SEC and prospective issuers, which many believe could take weeks.

Also, late Wednesday, the U.S. House of Representatives passed a crypto market structure bill to help regulate the industry – the first of its kind to be voted on in the House. The House voted 279 to 136 to pass the Republican-led Financial Innovation and Technology for the 21st Century Act, also known as FIT21.

The overall shift in tone “should make institutional investors more comfortable buying crypto and related instruments, including stocks with exposure to bitcoin,” Palmer said.

Ether was up 1.2% over the past 24 hours to $3,814 at publication time, according to The Block’s pricing data. Bitcoin was down 2.9% to $67,506 in the same period.

“It's no surprise to see BTC and the miners down today following Bitcoin's retest of resistance at its March highs,” Louis Sykes, senior crypto analyst with All Star Charts, told The Block. “I think there's more value in watching equity markets and growth stocks than paying attention to FIT21 because the correlations have been so tight.”