Solana Network Receives Major Boost in Brazil
The Solana network has continued to attract more retail and institutional investors around the world, thus re-flipping the Binance coin (BNB) as the fourth most valuable digital asset by market cap. In the latest development, the Brazilian Securities and Exchange Commission (CVM) approved the launch of the first spot Solana ETF.
Notably, the Brazilian CVM gave a go-ahead signal to investment firm QR, and the ETF will be managed by Vortx. The approval of spot Solana ETF in Brazil could trigger a similar move in the United States. Moreover, the US SEC has already toned down its crypto crackdown amid major court losses. Additionally, VanEck and other investment firms have filed with the US SEC to issue a spot Solana ETF, which experts believe could be approved early next year.
Midterm Price Expectations
Following a decent rebound in the past few days, Solana’s price against Ethereum has rallied to a new all-time high in the past 24 hours. With the weekly Relative Strength Index (RSI) having rebounded from the 50 percent level, Solana’s price against the US dollar aims to retest its all-time high in the near term. However, a consistent close below $137 could further erode the bullish momentum and trigger heightened selling pressure.
Solid Support Level and Market Reaction
Amid the ongoing crypto rebound in the past 24 hours fueled by the final ruling of the SEC vs Ripple lawsuit, Solana’s (SOL) price rallied nearly 7 percent to trade at about $155 on Thursday during the early Asian session. The large-cap altcoin, with a fully diluted valuation of about $90 billion and a daily average traded volume of around $6.9 billion, has significantly rebounded from the recent crypto crash.
Currently, the Solana price has been attempting to regain the 50—and 200-day Moving Averages (MAs) as a crucial support level to guarantee further bullish momentum. Furthermore, the altcoin has established a solid support level of around $120, which held even after the recent crypto crash.
What Does This Mean for Investors?
For investors, the approval of the Solana ETF in Brazil marks a significant milestone. ETFs, or Exchange Traded Funds, allow investors to buy shares that represent a collection of assets, in this case, Solana. This makes it easier for average investors to get exposure to Solana without needing to buy it directly. With the growing interest and support levels holding strong, Solana’s future price trajectory looks promising. However, investors should be cautious of the $137 support level, as a dip below this could signal a bearish trend.
