The cryptocurrency market is buzzing with excitement following President Joe Biden’s unexpected decision to withdraw from the 2024 presidential race. This political shift has heightened speculation about a potential game-changer for Solana (SOL)—the approval of a Solana Exchange Traded Fund (ETF) by the U.S. Securities and Exchange Commission (SEC).
Will the SEC approve Spot Solana ETF?
Nate Geraci, the President of The ETF Store, has sparked discussions on X (formerly Twitter) by suggesting that major ETF issuers like BlackRock, Fidelity, and VanEck could soon submit filings for ETFs covering Bitcoin (BTC), Ethereum (ETH), and Solana. This prospect could mark a significant development for crypto investors, especially since the SEC has so far only approved ETFs for Bitcoin. Ethereum ETFs are also on the horizon, with approval expected within the next month.
Prediction…An ETF issuer will file for combined spot btc, eth, & sol ETF in next few months.We’re quickly heading down path towards index-based & actively managed crypto ETFs.
— Nate Geraci (@NateGeraci) July 22, 2024
Currently, only two ETF issuers—VanEck and 21Shares—have put forward filings under Rule 19b-4 with the SEC. However, Geraci’s hints at a forthcoming Solana ETF approval have created a buzz, with many anticipating that this could occur within the next month. If this happens, it could significantly influence Solana’s market value and related tokens.
Solana technical analysis
Solana’s recent technical analysis is also turning heads. The cryptocurrency has been trading above its 200 Exponential Moving Average (EMA), indicating a bullish trend. Yet, it faces strong resistance at the $186 mark. If SOL breaks through this barrier and closes above $186, it could see a surge toward the $200 level or higher.
Investor interest in Solana is growing. On-chain data from CoinGlass reveals a 9% rise in SOL open interest over the past 24 hours, marking its highest level since June 2024. The current data shows a notable shift towards long positions, with bulls dominating. Interestingly, $108 million in short positions are set around the $186.5 level, suggesting that some traders believe Solana will struggle to surpass this price.
At present, Solana is trading at approximately $179, having gained over 4% in the last 24 hours, and hitting an intraday peak of $185. Over the past week, SOL has surged more than 18%, outperforming both Bitcoin and Ethereum.
With the potential for a Solana ETF approval looming and rising investor confidence, the coming weeks could be pivotal for Solana. As the market anticipates these developments, all eyes will be on the SEC’s decisions and Solana’s price trajectory.
