On June 27, the market brought a very important news: asset management company VanEck applied for Solana's ETF. After the news was released, Solana's coin price rose by 8 percentage points in one day, although this increase was somewhat unexpected for many people because they were not optimistic about the expected approval and listing time of Solana ETF.

The market originally expected that the news of VanEck's application for Solana ETF would stimulate Solana's price to surge by 20 to 30 percentage points, but in fact it only rose by 8%, showing the weakness of the altcoin market. Although this increase is positive, it is far lower than expected, suggesting that the market is cautious about the approval of Solana ETF.

Analysts pointed out that the approval of the Solana ETF may have a positive impact on all altcoin Layer1 projects, as it may indirectly prove that these projects are not securities. However, the current gains of Solana and the market reaction indicate that the bull market in the altcoin market may have to wait until the Fed's easing policy is introduced.

In addition, the market is skeptical of the rapid gains caused by hype in the short term, and it is expected that Solana may give up its gains in the next few weeks. This trend may also apply to other altcoins, showing market uncertainty and doubts about long-term growth potential.

Market observers said they were not surprised by VanEck's application for Solana ETF, because Solana is essentially a highly centralized VC coin (venture capital token), and the holders behind it are also very concentrated, mainly in some venture capital institutions. Therefore, it is not surprising that such an institutional coin applies for a related ETF. But I don't think Solana will usher in another wave of sharp rises because of whether the ETF is passed or not.

Recently, market observers have expressed a certain degree of reservation about Solana. This reservation stems from a deep understanding of the operating model behind Solana. It is reported that Solana’s significant price increase over the past year has been driven in part by the meme coin phenomenon. Although this model may bring rapid price increases in the short term and is suitable for short-term market speculation, from a long-term holding perspective, some of the challenges Solana faces, such as the chain suspension incident, make people doubt its long-term development potential and stability. Sex is in question. So while Solana is popular in some circles, the industry remains cautious about its continued growth and market performance going forward.

Sources said that Solana has invested a lot of money in promotion, especially brand promotion through well-known KOLs and bloggers at home and abroad. This strategy is quite similar to Terra Luna’s previous market operations. Similarly, before the collapse of UST, Terra Luna was hailed as a rising star in the cryptocurrency field due to its significant market gains, and some even called it the "killer of Ethereum." Analysts believe that Solana’s promotion methods are similar to Terra Luna’s strategies to some extent.

Therefore, as more and more discussions and KOLs promote Solana, and the resulting price increase, some observers are becoming less interested in the project. #Solana #ETF #VanEck

I wonder what you think about Solana? If you are a firm supporter of Solana, or truly believe in the future of Solana, please tell me your thoughts and opinions in the comment section!