SOL Finds Support and Bullish Momentum Builds as 21 Shares Seek ETF Approval - Should You Buy Now?

SOL Finds Support and Bullish Momentum Builds as 21 Shares Seek ETF Approval - Should You Buy Now?

As of writing SOL is currently trading at $141.32 showing a dip of 0.35% in the last 24 hours but a healthy 4.56% gain in the last 7 days. With a market cap of over $65.3 billion and a 24-hour trading volume of $1.23 Solana continues to attract bullish attention and potential for recovery

SOL Price Chart: CoinMarketCap
SOL Price Chart: CoinMarketCap

The recent stability can be linked to the spot Solana ETF applications filed by major players in the financial sector. On Friday last week 21Shares submitted a request to U.S regulators for permission to launch an exchange-traded fund tied to the spot price of Solana. This move follows a similar filing by VanEck just a day earlier signaling growing institutional interest in the Ethereum killer.

Both  VanEck and 21Shares plan to list their Solana ETFs  on CBOE pending regulatory approval. The exchange is expected to file for a rule change to allow these new products to trade in the coming weeks. This development comes on the heels of the SEC approval of spot bitcoin ETFs in January which included offerings from both firms

In addition to the ETF news the Solana Foundation has introduced two new developer tools. Which are Solana Actions and blockchain links (blinks). 

Solana Actions in particular allows users to execute on-chain transactions across various platforms simplifying the process for developers and users.

Looking at Solana price action, it touched the neckline of a double-top pattern before finding support and closing bullish for the last several days. After facing rejection three times after hitting the horizontal support zone, SOL has shown signs of a potential pullback that is yet to get strong.

From its May 21st high of $188 reached after breaking out of a bullish pennant, Solana experienced a 35% drop before finding support. The price breakdown from the wide bullish pennant on June 18th was because of the bearish pressure and the broad  crypto market sell-off.

SOLUSD Daily Chart: TradingView
SOLUSD Daily Chart: TradingView

Technical indicators also show a general positive outlook. The Daily Relative Strength Index (RSI) currently stands at 45 having recovered from an oversold reading of 29 several days ago. This shows a buildup power of bullish momentum. The MACD has experienced a bullish crossover showing a positive market outlook.

On the 4-hour timeframe the $140 level has been flipped from resistance to support with the price currently trading at this level after a slight pullback as retest. These indicators collectively suggest that bullish momentum may continue building  in the near term and fuel a broad strong bullish Solana market. 

A crypto analyst recently stated on X that the race for Solana ETFs is heating up with two filings in just the past two days signaling strong institutional interest in Solana.

Solana has also recorded a double bottom and is trading to the upside currently at $120 mark. The analyst also suggests that if Solana summer occurs SOL might surge  and potentially record fresh highs just like it did back in 2023

Looking forward at Changelly, Solana technical analysis show it is 70% bullish and 30 bearish. The ETH Killer is also  anticipated to gain 0.61% and hit $142.98 by 1st July tomorrow.

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