Solana(SOL) Analysis: Will The Spot ETF News Help Regain Momentum?

Solana is on the verge of joining Bitcoin and Ethereum to have its own Spot Exchange Traded Fund (ETF).

This could make the altcoin exit the bearish zone in the short term and register a recovery it has been trying for a few weeks. 

SOL popped nearly  8 % after VanEck and 21Shares confirmed their application on liting Solana spot ETF with the Chicago Board Options Exchange (CBOE).

The continued participation of big issuers, and SOL spot ETF approval could validate the short surge above $200, in terms of $400 and $1000 in mid of 2025. 

SOL Technichals Turning Into Bullish

After facing resistance at $202, Solana price slipped nearly 37% in 3 months. Currently trading at $144, SOL has performed well in the turbulence without losing its strength to lower lows. 

The June month was a downtrend, creating a falling wedge pattern but found support in the $127 and $131 zones. This zone was a reversal territory that pushded prices upward, leading to retesting the $154 level. 

In the current SOL/USDT 4 hr chart, The MACD is seen making the bullish cross-over above the zero line, and the histogram shows green lines above. 

Solana price prediction.

Also, the Solana funding rates are now in positive territory, signaling mixed sentiments among traders. These mixed funding rates imply that short positions are holding for the price to make a slightly more upward moment. This could lead to a restest again or rally above $160. 

Moreover, the current price action shows Solana’s price is challenging SMA and EMA as a close call so $150 is a crucial zone to breach. This will propel Solana to continue the rally until the $156 resistance is flipped to support. 

Conversely, if there is a breakout downward the support of $126, SOL could experience major lower lows. As the Spot ETF approval is still 7 months away and the market dynamics are still unfavorable. 

Traders need a close watch in the $126 to $154 zone.