Solana ETF Approval Looms as SEC Requests Amended Filings
Solana (SOL) experienced a 3% surge on Tuesday following reports that the Securities and Exchange Commission (SEC) has requested companies to resubmit their S-1 forms for Solana exchange-traded funds (ETFs) within the next week, according to Blockworks.
SEC Hints at Approving Solana ETFs Soon
The SEC’s request for amended S-1 registration statements from firms seeking to launch Solana ETFs signals a potential shift in the regulatory landscape. The agency is reportedly asking issuers to refine the language surrounding in-kind redemptions and to clarify their approach to staking within the ETF structure.
Notably, the report suggests the SEC is open to considering staking for Solana ETFs, pending approval. This contrasts with the agency’s previous stance under former Chairman Gary Gensler, where issuers of spot ETH ETFs in the U.S. removed staking-related language from their filings.
The SEC is expected to review the revised SOL ETF filings and provide feedback within 30 days, hinting at a potentially expedited decision on the funds. Blockworks suggests that Solana ETFs could receive approval within three to five weeks.
Several asset managers, including VanEck, 21Shares, Grayscale, Bitwise, Canary Capital, Franklin Templeton, and Fidelity, are awaiting the SEC’s final decision on their Solana ETF applications. VanEck initiated the race for a Solana ETF last year with its S-1 filing, followed by 21Shares and Bitwise.
CoinShares may also join the list of companies seeking approval, having registered a CoinShares Solana ETF in Delaware, suggesting a potential S-1 filing in the coming weeks.
Bloomberg ETF analysts Eric Balchunas and James Seyffart noted that Rex-Osprey is exploring “legal solutions” to expedite the SEC’s decision on their Solana product.
“Get ready for a possible Altcoin ETF summer with Solana leading the way,” Eric Balchunas tweeted on Tuesday.
Analysts have assigned a 90% probability of SEC approval to Solana ETFs. James Seyffart suggested in May that the SEC might approve altcoin ETFs by late June or early July if it makes an early decision.
Solana Price Could Reach $183 if Resistance is Broken
Solana’s 3% gain has led it to test its 50-day Simple Moving Average (SMA) and the $163 resistance level. If it maintains the 50-day SMA as support and breaks above the upper boundary of a key descending channel, it could rally towards the 200-day SMA and the $183 resistance. Downward, SOL may find support at $142.
The Relative Strength Index (RSI) has crossed above its moving average lines and neutral level, indicating increasing bullish momentum. The Moving Average Convergence Divergence (MACD) indicator is also nearing a bullish crossover above its red moving average line, which could further strengthen upward pressure.
Stay ahead of the curve in the fast-paced crypto world – explore the latest updates and trends at Cryptonewsfeeds.com.
