Solana Price Holds Firm Above $122; Could Canadian ETF Launch Spark a Bullish Reversal?
The Solana price held firmly above the $122 level over the weekend after bears threatened to stage a breakdown when the crypto market wobbled on June 18. On-chain data analysis explores how investors positioning for the impending SOL ETF launch in Canada could spark a bullish trend reversal in the coming week.
Solana ETF Approval in Canada Sparks Bullish Reversal
Solana ETF Approval in Canada Spurs Bullish Reversal
Over the past month, Solana’s price took a major hit as investors flocked to Ethereum markets in search of short-term profits following the ETH spot ETF approval verdict from the US SEC.
However, as these short-term reactions wear off, on-chain data reveals that Solana’s core investors have spent the volatile market phase positioning for potential long-term gains from new market developments.
Notably, on June 21, the investment firm 3iQ announced the successful filing of an application to launch Solana ETFs in Canada. Since this confirmation, Solana bulls have shown strong resilience amid the month-long downtrend, preventing a breakdown below the critical $122 price level.
Solana price action | SOLUSD | TradingView
As seen in the chart above, Solana’s price is holding precariously above the critical $122 support level, as indicated by the lower-limit Bollinger Band.
Having experienced a 32% downswing over the last 33 days since May 21, 2024, the stage now appears set for bulls to re-enter and capitalize on the dip.
As the new trading week begins on Monday, June 24, investors will be closely monitoring fresh developments surrounding the Solana ETF filing in Canada. This move looks poised to ignite a significant bullish reversal in the coming weeks.
As seen in the chart above, Solana’s price is holding precariously above the critical $122 support level, as highlighted by the lower-limit Bollinger Band.
Despite a 32% downswing over the past 33 days since May 21, 2024, the stage appears set for bulls to re-enter and capitalize on the dip.
As the new trading week begins on Monday, June 24, investors will be closely watching for fresh developments regarding the Solana ETF filing in Canada. This move looks poised to spark a major bullish reversal in the coming weeks.
3iQ Files First Ever Solana Exchange Traded Product (ETP) in Canada | June 20, 2024 | Source: 3iQX
Positive movements towards the impending approval of the Solana ETP in Canada could attract significant investment from Canadian hedge funds, family offices, retirement funds, and other institutional investors. This influx of funds is expected to ignite bullish activity among both retail crypto-native investors and large-scale whale investors.
With Solana having avoided a breakdown below $122, this development could now potentially shape pivotal SOL market trends in the upcoming week.
Solana Price Forecast: Potential Rebound Toward $150?
Solana’s price has experienced a significant decline over the past 30 days. However, according to RSI data, Solana is currently in oversold territory, with a reading of 31.59.
This condition might attract buyers looking to capitalize on a potential rebound. If bullish momentum strengthens, the immediate resistance level to monitor is the 20-day Simple Moving Average (SMA) at $149.74.
A breakthrough above this level could pave the way for a move towards the upper Bollinger Band, currently at $176.64. This represents a notable resistance level, and a successful breach could signal the start of a sustained upward trend.
Solana Price Forecast | SOLUSD
Investors will keep a close watch on developments surrounding the Solana ETF in Canada. Positive news could trigger a significant influx of capital from institutional investors, which may further strengthen Solana’s price.
Maintaining a price above $122 could facilitate consolidation and establish a foundation for a potential rally. Conversely, failing to sustain this support level might result in further declines, potentially testing lower price levels.