Expect this from SOL price if Spot Solana ETF is approved!

  • 21Shares took the lead with VanEck in pursuing the Spot Solana ETF
  • An increase in Solana flows can be expected if the applications are approved.

Solana [SOL]The market’s performance over the past few years has recently attracted the attention of many Wall Street institutions. Therefore, it is not surprising that some of them are now very keen on the idea of ​​creating a Solana spot ETF.

21 stocks moving

In a move to capitalize on the growing interest in SOL, Swiss asset manager 21Shares has filed to request To list the Solana ETF in the United States. This application follows a similar application filed by rival VanEck.

21Shares’ filing is based on the altcoin’s legal classification. The filing assumes that Solana is not considered a security under U.S. law. This distinction is important because security ETFs face stricter regulations than standard ETFs.

If the SEC classifies it as a security, 21Shares may withdraw its application altogether. This potential withdrawal may stem from the additional registration requirements that come with security ETFs, which 21Shares may not be willing to meet.

How will SOL be affected?

The potential Solana ETF is expected to boost the price of Solana (SOL), similar to the way Bitcoin’s price rose after its spot ETF was approved.

In fact, it happened recently. analysis In fact, GSR Markets used Bitcoin’s 2.3x price rise as a starting point. But it’s worth noting that they acknowledged that Solana ETFs are unlikely to attract the same level of investment. To illustrate this, GSR instead explored three scenarios based on potential investment flows, relative to Bitcoin ETFs.

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In the case of bears, they assumed a 2% increase in SOL inflows. They assumed a low level of interest in Solana ETFs, with inflows only 2% compared to Bitcoin.

Next comes the base case scenario, which would result in 5% inflows relative to Bitcoin. This would be a more moderate scenario based on actual investment activity in Solana products from 2021 to 2023, excluding 2024 to avoid the impact of Bitcoin ETFs.

In the most optimistic and optimistic scenario, GSR took into account relatively higher SOL inflows in 2022 and 2023. It was estimated that the altcoin could attract 14% more inflows, compared to Bitcoin on average.

Source: GSR

At the time of publication, SOL was trading at $141.80, with its price down 2.53% in the past 24 hours. In fact, its trading volume during the mentioned period decreased by 33.23% on the charts as well.


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Source: Santiment

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