Solana ETF Approval Could Come Any Day: Analyst

• SEC simplifies crypto ETF process, removing old 19b-4 filing hurdles.
• Solana ETF filed fourth S-1 amendment, approval could come soon.
• Bull market and low interest rates favor Solana and XRP ETFs.

The path to a Solana exchange-traded fund (ETF) looks clearer than ever. Bloomberg ETF analyst Eric Balchunas said this week that the odds of approval for spot crypto ETFs are now “essentially 100%.”

The U.S. Securities and Exchange Commission (SEC) recently adopted generic listing standards, which eliminate the need for 19b-4 filings and their lengthy review process. Instead, issuers now only need S-1 filings, which await final clearance from the SEC’s Division of Corporation Finance.

The streamlined process has shortened launch timelines. According to Balchunas, this shift means the first Solana ETF could be approved soon.

Solana ETF Already in Advanced Stages

The Solana ETF is further along than many expected. It has already filed a fourth amendment to its S-1, meaning that issuers are actively preparing for an imminent approval. Balchunas said that with paperwork in place and the new framework removing red tape, approval could “come any day.”

Related: SEC Moves Closer to Approving ETF Share Classes for Mutual Funds

Nick Ducoff, Head of Institutional Growth at the Solana Foundation, also said that this move is transformative for the market. He said the SEC’s surprise announcement means that issuers no longer need to navigate the old filing maze, giving projects like Solana a faster track to launch.

Solana Vs XRP

Ducoff was asked how Solana and XRP ETFs might perform in their first 30 days. He said both are expected to launch around the same time. With the stock market hitting new highs and the Fed lowering interest rates, the current bull market is favorable for risk assets like crypto. Historically, Solana has moved in line with risk-on markets, making the timing promising.

He added that both Solana and XRP are strong assets with active communities. While he supports Solana as part of the Solana Foundation, he believes both ETFs could perform well initially. 

Solana Price Update

Solana (SOL) is trading near the $210 mark, maintaining a bullish structure despite some corrective signals. Immediate resistance is seen around $216 to $219, while key support remains near $204. Analysts warn that a break below $172 could delay the bullish setup, but overall sentiment points higher.

With ETF approval possibly days away, October could prove to be a defining month for Solana and its investors.

Related: Crypto Faces Volatile Week With Fed Remarks, FTX Distribution, and Labor Data