Spot Solana ETFs Could Trigger a Ninefold Price Surge, Says GSR Markets
Summary:
Crypto market maker GSR Markets predicts a potential ninefold increase in the price of SOL cryptocurrency following the U.S. regulatory approval of a spot Solana ETF. The firm's optimistic scenario sees Solana's price leap from $149 to over $1,320, boosting its market cap to $614 billion. GSR also suggests lower influxes could still push Solana’s price up significantly. Notably, experts believe political changes would be needed before a Solana ETF gains serious consideration, given the SEC's security label on SOL. This prediction coincides with VanEck's surprising move to file for a spot Solana ETF and 3iQ’s registration for a Solana ETF in Canada.
The price of the SOL cryptocurrency could potentially increase ninefold, according to a prediction made by crypto market maker GSR Markets. The firm's report, released on June 27, highlights Solana as one of the leading cryptocurrencies and ponders on the potential U.S. approval of a spot Solana ETF. The paper was published concurrently with VanEck's filing to establish a spot Solana ETF, a move that took many by surprise. GSR, which owns a considerable amount of SOL, inferred that if the spot Solana ETFs attracted 14% of the investments made in the spot Bitcoin ETFs since their January launch, a ninefold increase could be possible. The firm claims that, in an ideal scenario, Solana's price could rise from its current $149 to more than $1,320, boosting Solana's market cap to a staggering $614 billion. GSR goes on to suggest that lower influxes, such as 2% and 5%, could still drive 1.4x and 3.4x price increases for Solana. GSR suggests that the figures could grow even more if staking rewards are included in the Solana ETFs. Despite the firm's positive outlook, several experts, including Bloomberg ETF analyst Eric Balchunas, expect political changes in the U.S presidency and SEC chair position before a Solana ETF gains serious consideration due to the SEC labeling SOL as a security, complicating the approval process. VanEck's proposition comes just seven days after 3iQ, the cryptocurrency asset manager, registered for a Solana ETF in Canada, marking the first of its kind in North America. Despite no firm commitment, the Solana ecosystem has impressed $1.5 trillion asset manager Franklin Templeton. It's worth noting that Solana exchange-traded products worth over $1 billion are already available globally. Magazine: A recent report claims El Salvador's national Bitcoin chief is cultivating Argentina's understanding and acceptance of Bitcoin.
Published At
6/28/2024 7:37:13 AM
Disclaimer: Algoine does not endorse any content or product on this page. Readers should conduct their own research before taking any actions related to the asset, company, or any information in this article and assume full responsibility for their decisions. This article should not be considered as investment advice. Our news is prepared with AI support.
Do you suspect this content may be misleading, incomplete, or inappropriate in any way, requiring modification or removal?
We appreciate your report.