Altcoins
These Solana-based altcoins could see a huge rally
In a recent strategy sessionInvestAnswers discussed the important news about VanEck’s Solana (SOL) ETF filing, shedding light on why this development is important for Solana and its potential impact on the market. Following the news on Thursday, Solana token rose 8% to around $147.95. It is up 42% so far this year.
However, doubts hover over whether the current administration will approve it. Notably, Bloomberg senior ETF analyst James Seyffart predicts that a Solana ETF could hit the market by 2025.
Solana is up 740%
Solana has seen remarkable growth, emerging as a top-performing smart contract platform (SCP). Over the past year, Solana has increased in value by 740%, outpacing other major cryptocurrencies such as Bitcoin (99%) and Ethereum (80%).
In just 24 hours, Solana’s price has surged, with holders expecting a breakout of $150. Solana is up 9.3% to $148.3 and up 10.5% on the week.
Why VanEck Backs Solana
VanEck’s Solana ETF, if approved, will list on the Cboe BZX Exchange, a first in the U.S. InvestAnswers says VanEck views Solana as a commodity due to its utility in the ecosystem, used to pay transaction fees and computational services on the Solana blockchain. Solana’s design runs on a variety of applications, focusing on payments, DeFi, gaming and social media.
When is Sol ETF due?
While the market is buzzing for an early approval, James Seyffart suggests that the Solana ETF may not have a chance to launch until 2025. This would depend on changes in the White House and the SEC. Right now, the current administration is making it difficult for new ETFs to be approved.
Impact of SOL ETF on Cryptocurrency Prices
Solana ETF inflows could lead to price multipliers with targets of $799, $1,123, and $1,772, the analyst said, reflecting ROIs of 432% to 1,181%. VanEck’s bullish projection for Solana by 2030 is $3,211 per token, consistent with potential ETF impacts.
Solana Projects in Progress
The Solana ecosystem is currently making waves. Helium and HiveMapper are scaling rapidly, with HiveMapper mapping 1/5 of the world’s streets. Jupiter’s Giant Unified Market (GUM) platform aims to manage tokenized assets on Solana, including stablecoins, real estate, commodities, yield markets, meme coins, and stocks. Blinkx allows transactions via URL, making it user-friendly. Other notable projects include SolFlare, Code, Breeze, Sling, TipLink, Autocash, Jupiter, Cube, Drift, Zeta, Squads, Forecaster, and a partnership with UFC and Block Asset.
What’s next?
With traditional investors increasingly attracted to these ETFs, attention has now shifted to the Ethereum ETFs that are expected to debut this year. VanEck’s recent unveiling of a Solana ETF could signal a similar trajectory for Solana, potentially paving the way for other ETF products on the market.
Analysts like Seyffart suggest that big firms like BlackRock, Grayscale and Franklin Templeton could follow suit, ushering in a new phase of growth for SOL.