Solana Price Surged 6% With ETF Discussion In Market; New ATH Soon?
Solana is among the first top altcoins to bounce back in the constraining market situation. For days, the Solana price was in decline, dropping as low as $123.8 but now it has gained a 6% surge in the last 24 hours, bringing the value to $144.31. However, it is still not enough to cover the losses Solana is sitting on, as over a month, it is still at a 13% loss, and that’s just normal. The main challenge is to get closer to its all-time high target of $260.06, which has been on hold for three years. So, why the Solana price is rising today? And can it surge to a new all-time high?
Crypto ETF Discussion Influencing the Solana Price
After the Ethereum ETF approval, the focus has shifted to the Solana ETF, as it comes next in line for its rising popularity in the market. Even before the approval of Ethereum ETF, the market was filled with discussions over Solana’s ETF and how the approval would be easier for this one compared to the ETH.
The current surge in Solana price comes moments after VenECK, a Bitcoin ETF issuer, filed Form S-1 for the Solana ETF with the SEC. This is the first official Solana ETF filing, and it is anticipated that other popular firms like BlackRock, Fidelity, Grayscale, and many others might follow soon.
Earlier, 3iQ Corp, an investment firm in Canada, also filed the preliminary prospectus for the Solana Fund (QSOL), which steamed the market for the hype around the Solana ETF. However, it has a long way to go and cross many hurdles, including missing Futures ETF and Solana’s classification as Security in the SEC’s eyes. The U.S. Securities and Exchange Commission gave a rough time before approving Ethereum ETF, the expectations are the same for this one as well.
The anticipation has grown so much over time that James Seyffart, the popular Bloomberg ETF Analyst, predicted that Solana ETF might enter the market by 2025.
First SOL ETF filing in the U.S. Will be interesting to see if other issuers immediately follow suit. Early thoughts are that this only has a shot to launch sometime in 2025 if we have a new admin in the White House and SEC. Even then not guaranteed. https://t.co/I1yoWNpdd4
— James Seyffart (@JSeyff) June 27, 2024
Can SOL Surge To A New ATH?
Amid the hype of Solana ETF, SOL price has made a quick recovery under the impact of rising network activity. The 24-hour trading volume is at $3,127,793,658 after a 112% surge, which might also push the Solana price further.
Based on various technical factors, the daily charts put this famous altcoin in the strong buying zone. The same is the case with the exponential and simple moving averages, where time frames like 5,10,20, and 200 are in the buying zone, but the 50 and 100 weeks still indicate the selling.
Additionally, the MACD (12,26) level is -4.879, a seller zone, and the STOCHRSI(14) value indicates the overbuying of the SOL token. However, the Relative Relative Strength Index is neutral, so the trend reversal is less likely at the time of writing. Most importantly, the pivot points are around 145.296, so if the Solana price succeeds with that, an uptrend is possible for the altcoin.
Lastly, the Fibonacci key resistance lies around 151.307, 155.021, and 161.032, and if won over these, the price can aim for the March high at $202.
How High Solana Price Can Go With Solana ETF Approval?
The targets are much higher with the Solana ETF approval, where many have set targets of $300,$500, and even $1,000. For now, the exact prediction is a little challenging, but a surge up to 9X can be possible based on many analysts’ calculations.
Realistically, Ethereum failed to adhere to such a prediction after its ETF approval, and the expectation for the Solana price to really high values is limited.
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