Optimism Grows for Solana ETF Approval Amidst Changing Market Dynamics
With regulatory and market dynamics changing in favor of digital asset products, the launch of the Solana ETF appears to be imminent.
Stock exchange Cboe BZX submitted four spot Solana ETF applications on Thursday, with proposals from VanEck, 21Shares, Bitwise Asset Management and Canary Capital. Bloomberg Intelligence ETF analyst James Seyffart noted that these applications are an important step forward for the Solana ETF, noting that if the SEC accepts these applications, the deadline for a final decision may be around early August 2025.
SOL ETF approval likely: Nate Geraci
It is worth noting that ETF Store President Nate Geraci expressed optimism about these developments, saying: “The SEC appears to be engaging with issuers regarding this product, which is a positive sign.” He believes that the Solana ETF will be available by the latest Approval by the end of next year is highly likely.
The optimism surrounding Trump, coupled with news that SEC Chairman Gary Gensler will resign on January 20, 2025, has fueled speculation about a more supportive atmosphere for digital asset innovation.
Recently, Fox Business’s Eleanor Terrett said in a recent X post that talks between SEC staff and issuers looking to launch a SOL spot ETF are “making progress” and that the SEC is currently processing S-1 applications.
While new developments suggest the product has a better chance of approval in 2025, it doesn’t guarantee SEC approval. However, most Solana backers are confident given SEC Chairman Gensler’s exit in January 2025.
Optimism grows for SOL ETF
Notably, VanEck’s head of digital asset research Matthew Sigel is also optimistic about the Solana ETF’s timeline, as he “I think there’s a good chance the Solana ETF will be trading before the end of next year.”
Geoffrey Kendrick, global head of digital asset research at Standard Chartered Bank, also said that the Solana ETF is more likely to be approved under the Trump administration.
SOL recently hit a new all-time high on Friday morning, trading at $264.31 on Coinbase Inc. The coin is up 18% over the past week, continuing its strong run in 2024 and up 160% since the start of the year. Its current market capitalization is US$123 billion, accounting for approximately 4% of the total cryptocurrency market.
Market analysts are optimistic about Solana’s continued rise, and its price target has now exceeded its all-time high of $260, setting a price target of $400.
