The extremist organisation detonated the explosive on Saturday in front of the stadium which will be turned into the Olympic stadium if the city wins the 2012 Games.
But there was also widespread belief that the International Olympic Committee won't look at the incident in itself when it elects the 2012 host city in less than a fortnight on July 6 at its congress in Singapore.
In what is the most illustrious field in Olympic history, Madrid is bidding for the Games against Paris, London, Moscow and New York.
No one was hurt in Saturday's explosion and only minor damage done, but the smoke rising above the stadium was broadcast around the world and the incident occuRred although Spanish police had done its utmost to protect all proposed Olympic sites.
"The ETA hit the epi-centre of Madrid's Olympic bid," said the Marca sports daily on Sunday. But Madrid mayor Alberto Ruiz-Gallardon insisted: "The attack will not the least effect on the IOC decision".
The view was supported by IOC boss Jacques Rogge. "Terrorism is a worldwide problem. The IOC members are aware of that. No country can be an oasis of peace," Rogge told Sunday's edition of El Mundo daily.
Both Spain and the IOC are aware of this. Back in 1992 the ETA staged a major terror campaign ahead of the Barcelona Games with 45 incidents, but nothing at all happened at the Games itself.
Now, 13 years alter, ETA has become weaker after Spanish police managed to arrests hundreds of its members and to destroy most of its commandos.
"By 2012 ETA will be so weak that it is known through memory only," predicted the As sports daily.
However, the Olympic host city decision is about more than terrorism, but about a city's general ability to stage the games, as Marca pointed out - aware that Paris is the favourite and London also rated highly by the IOC.
"Madrid can or lose at the IOC. If it loses in Singapore it will have nothing to do with the terror attack but solely because that in the eyes of the IOC the bid of another metropolis was better," Marca said.
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