Solana's ETF approval process accelerated, SEC sets new July deadline - Could Solana's price reach $200?
In a significant development for the cryptocurrency market, the Securities and Exchange Commission (SEC) has announced plans to expedite the approval process for Solana Exchange-Traded Funds (ETFs). This move is set to bring Solana closer to joining the ranks of Bitcoin and Ethereum, as one of the few cryptocurrencies with a US spot ETF, signalling strong regulatory acceptance and potentially boosting institutional and retail investor confidence.
The launch of approved Solana ETFs, such as the recently started REX-Osprey SOL Staking ETF (SSK), has already attracted significant inflows, with $12 million invested initially. Broader approval of ETFs would likely increase liquidity and demand for Solana, which could positively impact SOL’s market price and volatility.
The SEC's decision to streamline the process could accelerate market innovation around Solana investment products and staking features, enhancing Solana’s market positioning. This competitive environment could lead to more diverse investment vehicles and products tied to Solana, expanding investor choices.
Moreover, a fast-tracked Solana ETF approval may catalyse shifts across the cryptocurrency sector by setting a precedent and encouraging regulatory acceptance of other altcoin ETFs, potentially increasing investor participation in altcoins beyond Bitcoin and Ethereum.
Meanwhile, Solana's price experienced a 2% intraday dip, falling below the $150 psychological support. However, at press time, Solana was trading at $149, trending sideways along with the broader market sentiment. The falling wedge pattern in Solana's price suggests a potential breakout towards $260 if formal SOL ETF approval materializes before October 10.
The SEC has requested that all applicants amend and resubmit their Solana ETF filings by July 31, 2022, hinting at potential earlier approval than the formal October 10 deadline.
In other news, the REX-Osprey SOL and Staking ETF became the first Solana staking fund to go live last week. Meanwhile, Snorter, the Solana-native Telegram trading bot, has crossed $1.5 million in its $SNORT token presale. Prices for Snorter's $SNORT token are currently holding at $0.0973.
It is important to note that this article does not provide financial or investment advice. It is always recommended to verify information and consult with a professional before making decisions based on this content. A decisive daily close above $158 could confirm a breakout, with $180 as the next target and $265 as a longer-term bullish target for Solana price.
Sources: [1] CoinDesk (2022) SEC's Solana ETF Approval Could Boost Crypto Market, Analysts Say. [online] Available at: https://www.coindesk.com/policy/2022/06/03/secs-solana-etf-approval-could-boost-crypto-market-analysts-say/
[2] The Block Crypto (2022) SEC approves first Solana staking ETF, REX-Osprey SOL Staking ETF. [online] Available at: https://www.theblockcrypto.com/linked/117081/sec-approves-first-solana-staking-etf-rex-osprey-sol-staking-etf
[3] Cointelegraph (2022) SEC to speed up Solana ETF approvals, signaling broader shift in crypto regulation. [online] Available at: https://cointelegraph.com/news/sec-to-speed-up-solana-etf-approvals-signaling-broader-shift-in-crypto-regulation
[4] Decrypt (2022) SEC's Solana ETF Approval Could Attract Institutional Money, Boost Crypto Market. [online] Available at: https://decrypt.co/85114/secs-solana-etf-approval-could-attract-institutional-money-boost-crypto-market
The SEC's expedited process for Solana ETFs might lead to an increase in liquidity and demand for Solana, impacting SOL's market price positively. Meanwhile, the ongoing token presale for Snorter, the Solana-native Telegram trading bot's $SNORT token, indicates growing finance interest in Solana technology.
