Solana Market Slump: ETF Ambitions Wane as SOL Falls Beneath $140 Barrier
In the midst of the financial roller coaster, Solana's coin price continues to tumble. Although the trading volume for the token surged by 28% to $3.91 billion, its negative trend persists, causing concern among investors over its short-term prospects.
Even amidst rising enthusiasm about a potential Solana ETF, the market remains shaky, revealing mixed reactions. Let's delve into the prospects of Solana ETF approval and potential Solana price predictions.
As per the latest data from Polymarket, the probability of Solana ETF approval by July 31 has dropped to 45%, plummeting from 71% on June 17, indicating a reduction of 26% within just 96 hours. On a positive note, the likelihood of approval of the Solana ETF by 2025 stands at 92%, marking an 18% increase, reaching a new peak.
Solana Breaks Through Support Trendline!
The Solana token has consistently formed higher lows on a daily basis, resulting in a strong rising support trendline. Moreover, it has formed a support zone around the $140 mark since February 2023.
Due to the rising uncertainty, Solana's price has dropped approximately 4% within the past 24 hours, plunging below both its support trendline and the $140 zone. Currently, the token is trading at $136.96 with a market cap of $73.45 billion.
The Relative Strength Index (RSI) shows a significant drop towards the oversold range of 20, currently valued at 35.06, indicating a growing bearish sentiment in the crypto market.
If a trend reversal happens, the Solana coin price might test the crucial resistance/support zone around the $140 mark again. A strong positive momentum could potentially push the price toward its upper price target of $158 within the upcoming timeframe. On the flip side, if the bears keep gaining power, it could result in a retest of the pivotal support level of $127 in a brief period.
In related news, today's overall crypto market shows Bitcoin experiencing a brief surge to $106K before dropping, while Ethereum and XRP remain sideways [Read: Crypto Price Today (June 20): Bitcoin Hits $106K Before Drop, ETH and XRP Range Sideways].
Cryptocurrency investors are keeping a close eye on the Solana ETF approval and the impact it could have on the Solana token's price prediction. Despite the Solana token breaking through its support trendline and testing the crucial resistance/support zone around the $140 mark, the latest Polymarket data reveals a 26% drop within 96 hours in the probability of Solana ETF approval by July 31. This uncertainty could potentially cause the Solana coin price to retest the pivotal support level of $127, if the bears continue to gain power. Meanwhile, the overall crypto market still faces volatility, with Bitcoin briefly surging to $106K before dropping, while Ethereum and XRP remain sideways.
