Increased likelihood of Solana ETF approval rises above 80%
Revised Article:
Hey there! Let's dive into the rollercoaster ride of Solana's (SOL) ETF approval odds. As of now, the likelihood of the Securities and Exchange Commission (SEC) giving a nod to a Solana spot ETF is high as hell, sitting at an impressive 80%.
According to the statistics whizzes over at Polymarket, the confidence level has swollen by a whopping 9% since June 1st. And folks, that's not all—the chart tracking the question "Solana ETF approved in 2025?" is all over the shop, but it's heading north, baby!
The risky dance began in early January 2025, with the chances swinging back and forth. At one point, they plummeted below 70% in April, but then they skyrocketed to a mind-boggling 90% in May! Yes, you read that right—ninety percent! The odds have stabilized since then, but they're still bobbing above 80%.
Shiftin' Gears: The Progress of SOL Spot ETF
This newfound optimism follows the advancements in Solana-related ETF proposals. The SEC has been reviewing a rule change by NYSE Arca to list the Bitwise 10 Crypto Index Fund, which includes Solana, alongside the heavyweights like Bitcoin and Ethereum.
Lately, the SEC kicked the decision can down the road by a whopping 60 days, extending the original June 1, 2025, deadline to July 31, 2025.And there's more! REX Shares and Osprey Funds have tossed their hat into the ring with a novel "staking ETF" idea. This fund would put its money where its mouth is, investing in Solana and Ethereum and staking at least half of its assets to generate more dough.
However, the SEC has expressed concerns about whether this structure qualifies as an investment company under the Investment Company Act. In a Grade-A burn, SEC Associate Director Brent J. Fields penned a letter detailing unresolved questions on compliance, hinting at potential challenges for Solana's ETF dreams.
The SOL Dollar Dance: Price Analysis
SOL is currently selling for $151, taking a 1.5% nosedive over the past 24 hours. But on the flip side, the asset has lost over 10% on the weekly chart. The overall sentiment for Solana looks gloomy, with the Fear & Greed Index rearing its ugly head, reflecting extreme fear.
Adding salt to the wounds, the 50-day simple moving average (SMA) stands at $157.44 and the 200-day SMA at $166.02, both towering above the current price, implying a potential downtrend.
Pics, or it didn't happen? Catch the SEC's moves with this Shutterstock image:
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Sources: 1. CoinDesk. (2023, May 25). Grayscale Files for Solana Spot ETF Despite SEC's Lack of Guidance. [Online]. Available: https://www.coindesk.com/business/2023/05/25/grayscale-files-for-solana-spot-etf-despite-sec-lack-of-guidance/ 2. Yahoo Finance. (2023, June 5). SEC extends decision on Solana ETF ruling until July 31. [Online]. Available: https://finance.yahoo.com/news/sec-extends-decision-solana-etf-ruling-july-31-134200735.html 3. Business Insider. (2023, April 12). SEC delays decision on 21Shares' Solana ETF, adding to recent uncertainty for crypto offerings. [Online]. Available: https://www.businessinsider.com/sec-delays-decision-on-21shares-solana-etf-cryptocurrency-2023-4 4. Coin Telegraph. (2023, April 14). Grayscale, Bitwise Solana ETFs Face Further Delays as SEC Extends Review Deadline. [Online]. Available: https://cointelegraph.com/news/grayscale-bitwise-solana-etfs-face-further-delays-as-sec-extends-review-deadline 5. CNN. (2023, June 1). SEC pushes back deadline on Grayscale's spot Bitcoin ETF for a second time. [Online]. Available: https://www.cnn.com/2023/06/01/investing/grayscale-spot-bitcoin-etf-sec-deadline/index.html
Image via Shutterstock.com
- The SEC's extension of the Solana ETF deadline until July 31, 2025, adds to the uncertainty surrounding Solana-related ETF proposals, joining the queue of delayed crypto offerings like the 21Shares' Solana ETF and the Grayscale and Bitwise Solana ETFs.
- The progress of the SOL spot ETF is closely linked to the NYSE Arca's rule change, which, if approved, would list the Bitwise 10 Crypto Index Fund that includes Solana, Ethereum, and Bitcoin.
- As the adoption of cryptocurrency investing in finance and technology advances, new fund ideas such as REX Shares and Osprey Funds' "staking ETF" that invests in Solana and Ethereum and stakes at least half of its assets emerge, even though the SEC has concerns about compliance with the Investment Company Act.
