Solana ETF Optimism Surges to 76%: SOL Price Tests Critical Support at $147
Solana (SOL) is testing key levels even as the SOL token price faces downward pressure, but there is a lot of hope that Solana ETFs will be
Quick overview
- Solana's price is currently testing key support levels while facing downward pressure, trading above $147 after a 3.7% drop in the last 24 hours.
- There is a 76% chance of ETF approval by the SEC, which could significantly impact Solana's long-term prospects.
- Despite recent price volatility, Solana's ecosystem remains strong, generating $35.3 million weekly and holding a total value locked of $10.4 billion in decentralized finance.
- Short-term price movements will depend on breaking the $152-$155 resistance zone, with potential for significant gains if successful.
Solana SOL/USD is testing key levels even as the SOL token price faces downward pressure, but there is a lot of hope that exchange-traded funds (ETFs) will be approved. SOL is currently trading above $147, although it has dropped more than 3.7% in the last 24 hours. This is testing important technical support levels as institutional interest continues to grow.
Solana ETF Approval Odds Climb as Market Sentiment Shifts
The ETF approval landscape is the most important thing that will affect Solana’s long-term future. Polymarket forecasts currently say that there is a 76% chance that the U.S. Securities and Exchange Commission (SEC) will approve pending Solana ETF S-1 registrations by July 31. This is a huge 13% increase in just 24 hours.
There are a few real things that have happened that make people feel this way. The DTCC (Depository Trust and Clearing Corporation) website now has VanEck’s proposed spot Solana ETF under the ticker “VSOL.” This is a big step forward in the approval process. The DTCC listing doesn’t mean that the company will be approved, but it does show that the company is making a lot of effort toward getting regulatory permission.
The SEC has launched public comment periods for Franklin Templeton’s XRP and Solana ETF proposals. This means that the deadline for making a decision has been pushed back to the end of July. This phase in the process can mean that immediate approval takes longer, but it shows that the regulator is taking these investment vehicles very seriously.
SOL/USD Technical Analysis Reveals Key Support Test
From a technical point of view, Solana’s price movement is a mixed bag. After failing to keep up the pace above the $160 resistance zone, SOL has entered a consolidation period after falling to about $145. The cryptocurrency just tested the 23.6% Fibonacci retracement level, which is the level it reached after swinging high to $158.
The $152 level, which is the 50% Fibonacci retracement level, and the bigger $155 level are two important resistance levels to keep an eye on. If the price breaks above $155, it could try the $160 resistance again and even move the price up to $165.
But there are still big risks on the downside. If SOL can’t break over the $152 resistance level, technical indications say it could drop to $142, and then further lower to the $130-$125 support zone. The hourly MACD is still in negative zone, and the RSI is below the neutral 50 line, which means that selling pressure is still strong.
Solana Ecosystem Strength Amid Price Volatility
Even though prices are going down, Solana’s ecosystem fundamentals are still strong. The network’s decentralized applications (DApps) still make more money than their competitors. They bring in $35.3 million a week and have almost half of the market share. This performance shows how important practical usefulness is for creating long-term value.
Solana is still the second-largest blockchain in decentralized finance, with a total value locked (TVL) of $10.4 billion. However, it is still far behind Ethereum, which has a TVL of $68 billion. The network’s weekly DEX trading volume fell by 5%, but the total volume over the last 30 days was close to an outstanding $90 billion.
Solana Price Prediction and Market Outlook
Solana is at a very important position in its decision-making process based on current technical and fundamental analysis. The short-term price movement will probably rely on if SOL can go back above the $152-$155 resistance zone. If the price breaks above these levels, it might spark renewed buying activity and push the price up to $165-$170 in the short term.
On the other hand, if the current support levels around $147 don’t hold, the price might drop more significantly to $130-$125, which would be a 12-15% drop from where it is now.
The long-term picture is still good, thanks to a higher chance of ETF approval and robust ecosystem fundamentals. If the regulations get the green light, SOL might see a big rise, possibly reaching the $200+ levels witnessed in past bull cycles.
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