Highlights:
- Solana price is range-bound between the $247.31 resistance and $232.19 support
- Rally through the $247.31 resistance could push the price to $300
- Excitement around Solana ETFs and broader market momentum could trigger a rally
Solana, like the rest of the altcoin market, is little moved today. In the last 24 hours, Solana has gained marginally by 2.22% to trade at $241.70. This is negligible in a bull market where altcoins usually record double-digit gains by the hour. That said, Solana remains one of the most active among altcoins today. A lot of altcoins are in the red over the last 7-days, and continue to record losses. Solana is still up in the week, recording gains of 12.06% in the last 7 days.
Advertisement
Solana’s volumes also remain high compared to most altcoins, an indicator that investors are still keen on Solana. For context, Solana trading volumes are up by 11.66% in the last 24 hours, to stand at $7.39 billion. All these points to Solana’s price potential for a rally once altseason kicks in, as happens once Bitcoin starts to go parabolic.
teams are shipping apps
apps are onboarding users
users are marketing solana
solana is flourishing— Solana (@solana) November 20, 2024
Solana ETFs Could Soon Launch in the US Market
Multiple factors support a Solana rally once the altseason starts. One of the biggest ones is the fact that Solana ETFs could be in the offing. The latest news touching on Solana is that on November 20, Bitwise, a leading digital asset manager, registered a statutory trust in Delaware. This is an indication that they intend to launch a Solana ETF.
Info related to the registration also indicates that Bitwise is in the process of making submissions for the S-1 registration with the SEC. There is a good chance that this ETF will go through thanks to the election of Donald Trump. With pro-crypto policies and a possible new approach to digital assets by the SEC, the chances of a Solana ETF are quite high.
Analysts Optimistic About Solana ETFs
Top analysts are already increasingly optimistic about Solana ETFs becoming a reality in the US. One of the optimistic ones is Matthew Sigel of VanECK. Sigel noted that there is a high possibility of regulatory approval for Solana ETFs by the end of 2025. If this comes true sooner, Solana could well be on course for a parabolic price run. That’s because ETFs come with institutional inflows.
While ETFs may not have worked out for Ethereum’s price, Solana may be different due to the strengthening demand for Solana thanks to its low transaction costs and fast speeds. Ethereum ETFs may not have had the same effect given that the underlying demand for Ethereum is weakening as faster, more efficient competitors eat into its market share.
Rising Solana Trading Volumes Point to Strong Underlying Demand
The rising demand for Solana is evident in the latest data from MoonPay. MoonPay one of the top crypto gateways for payments had one of the highest Solana trading volumes in a year on November 19. On this day, Solana trading volumes rose by 295%, outpacing all volumes it has recorded in the whole month so far.
On November 19, MoonPay smashed our single day all-time record for @solana transactions!
➡️ More $SOL transactions that day than ALL of November 2023 combined
➡️ 295% increase in 2024 daily SOL average
and they said it was only a Solana Summer…
— MoonPay 🟣 (@moonpay) November 20, 2024
Experts attribute this to the rising demand for Solana meme coins such as PNUT. As more of these meme coins launch on the Solana network, the trading volumes could be headed for even bigger highs. This puts Solana on course for a parabolic price run once alt-rally kicks in.
Technical Analysis – Solana Price Range-Bound as Bitcoin Takes All the Shine
From the charts, Solana has not moved much intra-day, reflecting the relative quiet in the altcoins market at the moment. Solana is currently trading in a multi-day range between the $247.31 resistance and $232.19 support. However, momentum is to the upside and Solan is currently trending towards the $247.31 resistance.
If buying volumes are strong enough to push Solana through the $247.31 resistance, then a rally to $300 could follow. Such a possibility is made even stronger by the fact that confidence is high that the 2024/25 cryptocurrency bull run has started. This is thanks to the ongoing Bitcoin price rally that has put $100k within reach intra-day.
Advertisement
