The price of major altcoin project Solana (SOL) reached an all-time high of $264.39 during the trading session on November 23. Since then, its price has witnessed a 3% correction, sending the popular altcoin trading hands at $255.12 as of this writing. Despite this pullback, the bullish trend for the altcoin is strengthening. Analyst Abiodun Oladokun, evaluating its daily chart, highlights two reasons why a new Solana all-time high is on the horizon.
Solana bulls are outsmarting the bears
On a daily chart, the price of SOL/USD is positioned above the green line of the Super Trend indicator. This indicator measures the general direction and strength of a price trend. It appears as a line on the chart and changes color according to the prevailing trend. Green indicates an uptrend, while red indicates a downtrend. When the Super Trend line is above the price of an asset, it indicates a downtrend and suggests that bearish momentum is continuing. In Solana’s case, when the Super Trendline turns green and the price breaks below it, buyers are in control.
This green line usually acts as a support level where increased buying pressure can trigger a recovery after a price drop. For Solana, this support is currently set at $213.53. Furthermore, the coin’s price is trading significantly above the Ichimoku Cloud, confirming this bullish outlook. This indicator tracks the momentum of an asset’s market trends and identifies potential support/resistance levels. When the price of an asset is above the Ichimoku Cloud, it indicates a bullish trend. It indicates that the asset is in an upward trend with the potential for further gains. In this case, the Cloud is a dynamic support zone below the price, reinforcing bullish sentiment.
Altcoin price prediction: Top on the horizon
As of press time, SOL is trading at $255.12, below new resistance at $264.39, which is a new all-time high. If the buying pressure gets stronger, the coin’s price will turn this level into a support base and try to touch a new high. On the other hand, if profit-taking resumes, SOL’s price will lose some of its current gains and trade at $231.35. If this level is not held, SOL’s price will fall towards the support created by the Super Trend indicator at $213.53. This will invalidate Solana’s chances of reaching a new all-time high in the near term.
As regulatory and market dynamics shift in favor of crypto asset products, the imminent launch of a Solana ETF seems on the horizon. On Thursday, the stock exchange filed four applications for spot Solana ETFs, with offerings from Cboe BZX, VanEck, 21Shares, Bitwise Asset Management, and Canary Capital. Bloomberg Intelligence ETF analyst James Seyffart said the filings are a significant step for the Solana ETF, and if the SEC accepts the filings, the deadline for a decision could be early August 2025.
ETF optimism is striking
ETF Store President Nate Geraci expressed optimism about these developments, saying, “The SEC appears to be engaging with issuers on this product. That’s a positive sign.” Geraci believes that the Solana ETFs are likely to be approved by the end of next year at the latest. The optimism surrounding Trump, combined with the news that SEC Chairman Gary Gensler will resign effective January 20, 2025, has fueled speculation of a more supportive climate for crypto asset innovation. Fox Business’ Eleanor Terrett recently reported that discussions between SEC staff and issuers looking to launch a SOL spot ETF are “progressing” now that the SEC is interested in S-1 filings.
The new development suggests that the product has a better chance of being approved in 2025, but it doesn’t guarantee that the SEC will give the green light. However, most Solana supporters are confident, considering SEC Chairman Gensler is set to leave office in January 2025. Matthew Sigel, head of digital asset research at VanEck, is also optimistic about the Solana ETF timeline: “I think there’s a very good chance that the Solana ETF will be trading by the end of next year,” he said.
Geoffrey Kendrick, global head of crypto asset research at Standard Chartered, also said that the Solana ETF is more likely to be approved under the Trump administration. SOL recently reached an all-time high on Coinbase Inc. Friday morning, trading at $264.31. The token gained 18% in the past week, continuing its strong performance in 2024 with a 160% increase since the beginning of the year. It currently has a market cap of $123 billion, about 4% of the total crypto market.
To stay up-to-date with the breaking news, follow us on Twitter, Facebook, and Instagram. Join our Telegram and YouTube channel
