Solana (SOL) Price Shows Potential for a Breakout From a 100-Day Accumulation Trend

The Solana price shows potential for a breakout from a 100-day accumulation trend amid an inverted head and shoulders pattern breakout and rising user activity.

The price of Solana (CRYPTO: SOL) was trading lower on Thursday, following a broader market downturn as an opportunity to regain momentum that had been exhausted by the bulls. For SOL coin, this pullback could be short-lived, as it shows potential for a quick reversal amid the development in the spot ETF approval.

What Happened: The U.S. Securities and Exchange Commission has requested that prospective Solana ETF issuers submit an amended S-1 filing within the next seven days, and the agency will review and provide feedback on these submissions in the following 30 days, reports Blockworks.

Issuers will also need to make the required changes to the S-1 filing. Among these changes, the SEC is interested in updating the language used for in-kind redemptions and understanding how issuers plan to approach staking in their ETF products. This suggests that the SEC might be open to incorporating staking features into these ETFs.

Issuers have been given an extension to file their S-1 registration statements for their proposed Solana ETFs by June 15, according to a recent report by Benzinga.

Earlier this month, the SEC pushed back the decision deadlines for several spot Bitcoin (CRYPTO: BTC) ETFs, including those from WisdomTree (NYSE: WIT), Invesco (NYSE: IVZ), and Shapeshift (NYSE: SHFT).

Recently, the SEC approved the first two Bitcoin futures ETFs in 2021. Later, it greenlit several other crypto futures ETFs, and earlier this year, it approved the first two institutional Bitcoin ETFs.

What Next: According to Bloomberg analyst James Steffary, the SEC is likely to approve several spot ETFs later this year or early in 2024.

In a recent tweet, Steffary shared an updated list of different spot ETFs with their chances of approval. Following the SEC's movement, the odds for Solana ETFs approval in 2025 have surged to 90%.

If approved, the Solana spot ETF will allow retail and institutional investors to gain exposure to SOL's price movement without needing to hold the actual cryptocurrency. Similar to Bitcoin and Ethereum (CRYPTO: ETH) ETFs, the SOL-ETF could attract huge demand and liquidity for the asset.

The Solana price shows potential for a breakout from a 100-day accumulation trend amid an inverted head and shoulders pattern breakout and rising user activity. On Thursday, June 11th, the Solana price dropped 1.17% to trade at $162.50.

This selling pressure followed a broader market downtick as an opportunity to regain momentum that had been exhausted by the bulls. For SOL coin, this pullback could be short-lived, as it shows potential for a quick reversal amid the development in the spot ETF approval.

SEC requests updated S-1 filings from ETF issuers

The U.S. Securities and Exchange Commission has instructed prospective Solana ETF issuers to submit an amended S-1 filing within the next week, according to a report by Blockworks. The agency will review and provide feedback on these submissions in the following 30 days.

Issuers will also need to make the required changes to the S-1 filing. Among these changes, the SEC is interested in updating the language used for in-kind redemptions and understanding how issuers plan to approach staking in their ETF products. This suggests that the SEC might be open to incorporating staking features into these ETFs.

Issuers have been given an extension to file their S-1 registration statements for their proposed Solana ETFs by June 15, according to a recent report by Benzinga.

Earlier this month, the SEC pushed back the decision deadlines for several spot Bitcoin (BTC) ETFs, including those from WisdomTree (NYSE: WIT), Invesco (NYSE: IVZ), and Shapeshift (NYSE: SHFT).

Recently, the SEC approved the first two Bitcoin futures ETFs in 2021. Later, it greenlit several other crypto futures ETFs, and earlier this year, it approved the first two institutional Bitcoin ETFs.

What Next: According to Bloomberg analyst James Steffary, the SEC is likely to approve several spot ETFs later this year or early in 2024.

In a recent tweet, Steffary shared an updated list of different spot ETFs with their chances of approval. Following the SEC's movement, the odds for Solana ETFs approval in 2025 have surged to 90%.

If approved, the Solana spot ETF will allow retail and institutional investors to gain exposure to SOL's price movement without needing to hold the actual cryptocurrency. Similar to Bitcoin and Ethereum (ETH) ETFs, the SOL-ETF could attract huge demand and liquidity for the asset.

Sonala Price Bounced With an Inverted Head and Shoulder Pattern

Over the last six days, the Solana price bounded from $141 to $168, registering a 19% growth. An analysis of daily charts