The cryptocurrency market experienced a significant rise due to rumors surrounding the potential approval of at least one spot Ethereum ETF by the U.S. Securities and Exchange Commission (SEC). Amid this excitement, recent comments by Matrixport co-founder Daniel Yan sparked discussions about the potential impact on Solana and SOL’s price movements. Yan also fueled speculation by suggesting that a spot Solana ETF could be introduced in the U.S.
“After Ethereum, It’s Solana’s Turn”
Optimism regarding the potential approval of a spot Ethereum ETF caused ETH’s price to rise by approximately 20% in the last 24 hours. In a recent X post, Yan suggested that while buying ETH is a popular choice, investors should consider buying SOL instead. He provided multiple reasons for this strategy. Firstly, he indicated that Solana could be the next candidate for a spot ETF. Secondly, he noted that the ETH/BTC trading pair gained 12% in value following Bitcoin’s spot ETF approval and suggested a similar trend could occur with the SOL/ETH pair.
Yan also highlighted the high volatility observed after Bitcoin’s spot ETF approval. Combining this historical trend with the recent rise in ETH‘s price, he emphasized a BUY signal for the SOL/ETH trading pair.
Yan’s statement comes at a time when Bloomberg analysts have increased their predictions for spot Ethereum ETF approval from 25% to 75%, indicating strong regulatory progress following the SEC’s push for issuers to update their 19b-4 applications.
Currently, the expectation for spot Ethereum ETF approval is positively impacting not only ETH but also the broader altcoin market. SOL, XRP, and other major altcoins have recorded strong gains, reflecting the ripple effect of ETH’s bullish trend on the entire cryptocurrency market. Chain analysis firm Santiment reported a significant rise in the overall value of the cryptocurrency market due to ETH’s bullish trend.
The potential approval of a spot Ethereum ETF has led to significant optimism in the market, causing investors to speculate on which cryptocurrency might be next for similar regulatory approval. As Yan pointed out, the Solana network, known for its high speed and low transaction fees, stands out as a strong contender.
Yan’s argument regarding the SOL/ETH trading pair suggests that SOL could see a significant price increase if the spot Ethereum ETF is approved. This logic is based on the historical model observed during Bitcoin’s spot ETF approval, where a notable rise was seen in the ETH/BTC trading pair as investors anticipated Ethereum’s spot ETF.
Experts Warn of Potential Delays for Spot Ethereum ETF
However, some market experts caution that if the U.S. SEC delays the approval of the investment vehicle, ETH’s price could face high volatility in the coming days, advising investors to remain cautious.
