A likely approval for spot SOL ETFs could catalyze the altcoin’s growth to a new ATH.
A fresh wave of excitement is flowing within the Web3 space. Solana (SOL) crypto price recently soared above $240 for the first time in eight months.
This milestone came just as CoinMarketCap’s altcoin season index surpassed 70, confirming an altcoin season.
SOL has been one of the top gainers among altcoins. It gained about 18% over the past week after rallying past a crucial previous resistance level.
One of the main fundamental catalysts behind renewed investor excitement for Solana was the NASDAQ listing approval for SOL Strategies last week.
For context, it’s now the first-ever listed company on the exchange with a Solana treasury.
Market observers believe SOL could now undergo a phase of profit-taking. The altcoin faced a temporary rejection near the $245 mark.
But from a relatively long-term perspective, crypto enthusiasts are highly optimistic about Solana’s growth due to rising expectations of SEC approval for a spot SOL ETF.
Could these catalysts set the stage for Solana to hit a new ATH beyond $300 anytime soon?
The bullish sentiment among technical analysts had already started to build up since Solana’s impressive recovery in June this year.
To illustrate the magnitude of this rally, SOL price has gained about 89% over the past three months alone.
What’s even more telling is the altcoin’s uptrend since early August. Most of these gains have come after it saw a golden cross on its daily chart.
A golden cross is when a near-term EMA jumps above the long-term EMA, denoting growing buying pressure.
At the same time, the Solana price also chalked out a classic ascending triangle on the daily timeframe. This pattern typically results from the price forming higher lows while hitting a horizontal resistance level.
In Solana crypto’s case, we can clearly see the buying pressure building up throughout August. It has been testing resistance near the $200 to $205 range.
The highly anticipated breakout that followed finally helped SOL hit its January highs. It cleared the path toward its all-time high level near $294.
Spotting the bullish pattern for SOL, popular market commentator Ali Martinez believes Solana can realistically reach $360 soon.
Looking ahead, industry veterans, including Bitwise Investments CIO Matt Hougan, are bullish on Solana. THe reason behind that is the growing corporate stockpiling of SOL.
There’s a growing consensus in the Web3 space that Solana’s improving fundamentals could now unleash its rally to a new all-time high.
The main factor that could provide the kind of firepower for a rally above $300 is the approval of the spot Solana ETFs.
Similar to how Bitcoin and Ethereum saw a massive surge in demand after their crypto ETPs were launched, Solana crypto could now witness a phase of mainstream TradFi adoption.
The US securities regulator is expected to give a green light to spot SOL ETFs (along with other crypto ETPs) in October.
It’s worth noting that VanEck’s upcoming SOL ETF has been listed on the DTCC, nearing completion of the approval process.
The final SEC approval could then open the floodgates for a massive influx of capital that is currently waiting to be deployed into these ETPs.
With Solana (SOL) price trading about 20% below its record high, it could easily retest and even surpass $300 during the Q4 crypto bull run.
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