K33 analyst Vetle Lunde recommended going long on Solana and short on Litecoin as part of his ETF expectations.
After Bitcoin (BTC) and Ethereum (ETH) received ETF approval in the US, applications were made for many altcoins one after another.
Among these, XRP, Solana (SOL) and Litecoin (LTC) are the altcoins with the highest probability of approval, while Solana is estimated to be the first to receive approval.
While altcoin ETF approval is almost certain in 2025, K33 analyst stated that investors can turn ETF expectations into an advantage.
According to The Block, K33 analyst Vetle Lunde recommended a long position for Solana and a short position for Litecoin as part of ETF expectations.
Lunde noted that if spot altcoin ETFs are approved, a long SOL and short LTC strategy would be beneficial.
Lunde noted that one of the key dynamics in the approvals of Bitcoin and Ethereum ETFs is the Grayscale effect.
At this point, the analyst noted that Grayscale has significant room for potential new ETF additions, saying:
“Unlike XRP and Dogecoin, Grayscale’s Solana and Litecoin trusts are publicly traded, making them the most likely altcoins to gain approval.”
Solana’s Grayscale trust has minimal risk in terms of liquidity outflows, while the Litecoin trust faces higher risks, Lunde said. “Therefore, trading long SOL and short LTC after the ETF launch looks attractive,” he said.
Additionally, K33 launched a stock issuance plan to raise $8.9 million towards its goal of acquiring 1,000 Bitcoins in its treasury.
