Brazil has announced its first spot for the Solana exchange-traded fund (ETF), which is set to go live soon following approvals from the Brazilian Securities and Exchange Commission (CVM).
This development positions Brazil as a leader in the crypto ETF space, contrasting with the regulatory uncertainty surrounding similar fund launches in the United States.
BREAKING BIG: Brazil's Regulators have approved the launch of the world’s first spot $SOL ETF. pic.twitter.com/1ec9ftpCj1
— SolanaFloor (@SolanaFloor) August 7, 2024
QR Asset Management, a prominent asset manager in Brazil, is at the forefront of this new offering, managing assets worth over R$876 million (approximately $155 million) and serving over 100,000 customers.
Vortx will manage the ETF, and it awaits final approval from the Brazilian stock exchange B3. The ETF’s pricing will be guided by the CME CF Solana Dollar Reference Rate Index, which provides a reliable valuation of Solana based on transaction data from leading crypto exchanges.
Market Response and Solana’s Price Movement
The introduction of the Solana ETF has sparked considerable interest within the crypto community, buoyed by the hope that it could significantly influence Solana’s valuation.
As of the time of writing, Solana was trading at $156.80, marking a 7.49% increase over the last 24 hours with a trading volume of $4.9 billion. Currently ranked fifth by market cap, which stands at $73.1 billion, Solana shows a market presence with a circulating supply of 466.3 million SOL coins.
Source: CoinMarketCap
The trading started fluctuating and reached as low as $145.5583, representing a sell-off of shares or a market reaction to certain conditions. However, the price recorded noble resistance and bounced back, showing that investors are ready to invest at a lower price to form a recovery toward the daily high of just a little below 160.
This recovery showed a bullish market sentiment and resilience within the Solana ecosystem, closing the day at around $157, a net gain despite the early volatility.
Technical Analysis Insights
The price chart for Solana, spanning several months, reveals notable fluctuations, with peaks and troughs defining the coin’s volatility. The recent resistance and support levels are around $180 and $120, respectively.
Underpinning the technical analysis are two key indicators: the Moving Average Convergence Divergence (MACD) and the Relative Strength Index (RSI). The MACD indicates a bearish crossover, hinting at potential downward momentum.
Source: TradingView
Conversely, the RSI stands at the neutral 50 level, suggesting a balanced market with equal buying and selling pressures.
While Brazil is at the forefront of expressing positivity towards the regulatory decisions about crypto ETFs, the United States is still in a state of waiting with VanEck and 21Shares on their Solana-based ETFs. This divergence is evidence of the global outlook of countries since the acceptance of the use of cryptocurrencies seems to differ from one country to another.
The post Solana Price Prediction: SOL Climbs 7% Ahead of Brazil ETF Launch, But Will Resistance Hold? appeared first on Coinfomania.
