Solana, the fifth-biggest cryptocurrency by market cap, has witnessed massive gains in the past 24 hours to become the top performer among the leading ten crypto assets. According to CoinGecko, SOL has added 7% to its value and now trades at $145.
But why is the coin trending upwards? Solana’s latest rally follows VanEck’s announcement on Thursday that the asset manager had filed for a Solana spot Exchange-Traded Fund (ETF) with the US Securities and Exchange Commission (SEC).
The New York-based asset management company said it submitted its application for VanEck Solana Trust to the SEC on Thursday morning in an attempt to be the first firm to issue a Solana spot ETF in the US.
VanEck’s Other ETF Products
It is worth pointing out that VanEck already issues an Ethereum futures ETF and a Bitcoin spot ETF. The firm’s filing for Ethereum spot ETF was approved last month by the SEC, but the product has yet to start trading.
Following the approval of an Ethereum spot ETF in May, analysts began to speculate about the next cryptocurrency suitable for an Exchange-Traded Fund, with many suggesting that Solana was next in line.
Solana Price Analysis
Even before VanEck’s latest ETF application, Solana was already showing signs of recovery after dropping to $121 a few days ago. The bulls have been defending key support zones over the past few weeks, suggesting that a bullish move could happen soon.
However, based on the 24-hour candlesticks, Solana may continue experiencing a price correction for some time. But if the token crosses the $151 resistance level, it will indicate the end of the corrective phase, and the bulls could occupy the driver’s seat to push SOL’s price higher.
Bitcoin and Ethereum Fail to Rally
Meanwhile, Bitcoin and Ethereum have struggled to rally in the past 24 hours. Both crypto assets have only recorded gains of 0.9%. Ethereum is trading at $3,455, while Bitcoin is priced at $61,694 as of this writing. Bitcoin has come under selling pressure this week after the German government started dumping BTC recovered from a movie piracy platform.
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