- Market watchers see this week as pivotal for SOL holders as the U.S. SEC prepares to review several Solana ETF applications amid looming deadlines.
- The Solana price drives a long-term sideways trend amid the formation of a traditional reversal pattern called a cup and handle.
- Asset management firm Bitwise revised its application for a Solana-based exchange-traded fund, adding “Staking” to its title and disclosing a management fee of 0.20%.
SOL, the native cryptocurrency of the Solana ecosystem, jumped over 4% during Wednesday’s U.S. market hours. The buying pressure likely followed a broader market uptick after a recent sell-off on Tuesday, indicating an aggressive buy-the-dip sentiment in the market. In addition, Solana price is poised to gain additional momentum as speculation around spot ETFs rises, as the SEC’s deadline to review the proposal looms.
Bitwise’s Solana ETF Adds Staking Feature Ahead of SEC Deadline
Bitwise Asset Management has made an important update to its proposed Solana exchange-traded fund (ETF), including “Staking” in the product’s name and disclosing a management fee of 0.20%, according to Bloomberg’s James Seyffart. The disclosure has received attention throughout the ETF community for its aggressive pricing strategy.
Bloomberg analyst Eric Balchunas commented that “Bitwise not playing around, plans to charge just 0.20% for their spot Solana ETF.” He added, “Thought we’d see higher first, need war to get this low. They prob figured it’s gonna end up there anyway so just do it now (veteran Terrordome move right there).” Balchunas further noted that low-cost funds “have a near perfect record of attracting investors,” calling the move “a good sign for inflow potential.”
The update comes as the U.S. Securities and Exchange Commission is set to examine a number of pending applications for Solana ETFs. Filings by VanEck, Canary, Fidelity, Grayscale, and Franklin Templeton are set for a decision by the end of Friday, and Bitwise and 21Shares await a final decision on October 16.
The prediction platform, Polymarket, shows the odds for a Solana ETF approval in 2025 have spiked to 99%, reflecting strong conviction from market participants.
If the SEC grants approval, Solana ETFs would be a significant move toward increasing the availability of regulated crypto beyond Bitcoin and Ethereum. Analysts suggest such a move could spark new institutional demand and boost Solana’s market position. Traders expect increased volatility and liquidity with the accessibility of a traditional investment vehicle offering stakeholder-linked yields.
SOL Price Drives Accumulation Trend Amid Cup and Handle Formation
Traders are expressing renewed interest in Solana, setting up a possible regulatory clearance. Analyst and crypto commentator Lark Davis noted that the structure of Solana’s long-term chart is tracing a cup and handle formation, a configuration often spotted at the bottom of a downtrend.
The chart setup is characterized by a long accumulation zone within a saucer-type recovery, followed by a temporary pullback to recuperate the exhausted bullish momentum.
By press time, the Solana price trades at $228, with an intraday gain of 4%. Consequently, the asset’s market cap has bounced to $125.01 billion, and the 24-hour trading volume wavers around $7.6 billion.
Analysts point out that the potential approval of a spot SOL ETF could accelerate the coin’s price to complete this pattern. With sustained buying, the post-breakout could extend to the 1.618 Fibonacci extension, which currently stands at around $425.
According to the daily chart analysis, the immediate support for the Solana price stands at $210 and $190, while the overhead resistance is positioned at $220 and $300.
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