Solana (SOL) price has been struggling amid a bearish trend across the broader cryptocurrency market. However, the underlying fundamentals show strength and could support a price rebound.

Data from Artemis shows that Solana’s monthly active addresses have reached an all-time high. This metric has gradually risen since the beginning of the year and is generally a bullish indicator.

(Source: Artemis) 

These addresses have registered a sharp rise this month, increasing from 42 million on September 1 to 76 million at press time. This suggests that traders are becoming more confident in Solana’s potential to rally.

However, it is worth noting that the same growth has not been seen in daily active addresses, which are at their lowest level since September 8.

The discrepancy shows that short-term interest is reducing while the overall user base grows, likely because of the fear and uncertainty gripping crypto traders.

Bitwise CIO is Still Bullish About a Solana ETF

Bitwise Chief Investment Officer Matt Hougan has revived the debate about the approval of Solana exchange-traded funds (ETFs) in the US.

In a recent interview, Hougan stated that Bitwise was analyzing the US Securities and Exchange Commission (SEC)’s stance towards Solana ETFs following the withdrawal of 19b-4 filings for two SOL ETFs by the Cboe.

“Bitwise has always led with data in its SEC filings. We’ve always, for better or worse, submitted like 200-300 pages of data with every filing that we make. We are very excited about the Solana ecosystem. We think it’s robust. So we are doing the work on that and certain other assets,” Hougan stated.

The Bitwise executive noted that several other crypto assets deserved to have ETFs. He mentioned that these products offer investors safe, low-cost exposure to digital assets.

VanEck and 21Shares are the asset managers who have already submitted ETF filings with the SEC. As ZyCrypto reported earlier, the US securities regulator halted the approval process for these products amid concerns that SOL is a security. 

The SEC classified Solana as a security in its lawsuits against crypto exchanges Binance and Coinbase. 

Nevertheless, Solana ETFs have received regulatory approval in other regions, including Europe and Brazil. 

SOL was trading at $133 at the time of writing after a 1.6% gain in 24 hours. The coin has increased by more than 600% over the past year.