Despite the market pullback, Solana's stock price still rose by 1.74% to $217 as asset management firm Bitwise launched a Solana staking ETP with the ticker BSOL in Europe. This news has reignited hope for Solana investors who have been on the sidelines for the past few weeks, as SOL consolidates around $210.
Will the price of Solana quickly rise to its historical high of $300?
After reaching a high of $263 on November 22, Solana's price has been consolidating over the past few weeks, showing signs of recovery after hitting a low of $203 last week. Despite the decline in Bitcoin prices and a broader market correction, SOL bulls have shown relatively greater strength today. To challenge the prevailing bearish sentiment, popular cryptocurrency analyst Crypto Jelle has presented a contrarian view on Solana (SOL).
Crypto Jelle pointed out: "Many have already given up on SOL, but the charts tell a different story." He noted that the asset is forming a descending wedge—a bullish technical pattern—close to the key resistance level that has recently turned into support. The analyst remains optimistic, predicting that the price of Solana could rise to a historical high before the end of the year, despite widespread concerns.
As Solana's price is expected to soar again to $300, it needs to break through the resistance levels at $244 and $265. However, with the breakout of the cup and handle pattern, the rise in SOL's price could further extend to $400. As of the time of writing, according to Coinglass data, SOL is trading at $217, with open interest soaring by 2.25% to $5.34 billion.
Launch of Bitwise Solana Staking ETP
Popular cryptocurrency asset management firm Bitwise launched the Solana Staking ETP (BSOL) in partnership with Marinade, its staking provider, on Monday. This development comes just a month after Bitwise applied for a Solana spot ETF in the U.S. However, market analysts suggest that approval for a Solana ETF in the U.S. may take time, while other altcoins like Hedera (HBAR) and Litecoin (LTC) may receive approval first.
Bitwise has secured a place in the European Solana ETP market, with its ESOL product managing $24 million in assets. However, ESOL has faced criticism from investors for lacking staking rewards, which have become increasingly profitable for Solana investors. The newly launched Bitwise Solana ETP (BSOL) addresses this issue by incorporating staking rewards.
Although Solana ETP issuers do not offer full staking reward rates, Bitwise's BSOL will pay 6.48%. This is slightly higher than the 5.49% offered by 21Shares' Solana staking ETP, which is the fifth-largest cryptocurrency ETP in Europe. Additionally, BSOL's annual management fee is 0.85%, while 21Shares' annual management fee is 2.5%, making it competitive.
