Solana News Today: Solana ETF Filings Spur Regulatory Review But Price Drops 3.29%

Several major financial institutions filed amendments to their S-1 registration statements for Solana (SOL) spot ETFs on July 31, including Bitwise, Canary Capital, CoinShares, and Grayscale, among others. Grayscale’s filing notably included a 2.5 percent fee structure payable in SOL, signaling a more serious approach to the product offering [1]. These amendments indicate that the Securities and Exchange Commission (SEC) is actively reviewing and discussing crypto ETF structures for Solana, as well as for other cryptocurrencies like XRP and DOGE [1].

Despite the positive regulatory developments, Solana’s price fell by 3.29 percent on the same day the filings were publicized. This decline was unexpected, as similar ETF confirmations for Bitcoin and Ethereum had previously driven upward price movements. Solana closed the day at $170.24, forming a long red Heikin Ashi candle, suggesting that either the ETF news was already priced in or market participants remain skeptical about a near-term approval [1].

Technical indicators on the daily chart show a clear shift in momentum. Heikin Ashi candles turned red for five consecutive sessions, reflecting a loss of bullish momentum. Price has dropped to the middle Bollinger Band at $179 and is approaching the lower band near $158, which could act as a support level if selling pressure continues. Additionally, the 200-day simple moving average (SMA) is flattening near $200, a level that previously acted as resistance and now appears as a strong rejection zone [1].

Looking ahead, August is expected to be a volatile period for Solana. A bullish scenario would require the price to hold above the $168–$170 range and break back above $180. If successful, this could lead to a retest of $190 and potentially a move toward $210. However, this would likely depend on renewed optimism from the SEC or leaks about potential approvals. Conversely, a breakdown below $170 could push the price toward $158 and then $145, confirming a deeper correction phase [1].

While the long-term implications of a potential Solana ETF approval are bullish, the immediate market reaction has been mixed. The ETF process remains in early stages, with the SEC still reviewing filings and providing feedback. Until more concrete signals emerge, the ETF narrative is likely to serve as a background theme for traders and institutions, who may take advantage of price dips without front-running the approval process [1].

In summary, the Solana ETF news represents a strong long-term catalyst for the asset. However, in the short term, Solana’s price action shows signs of consolidation and potential correction. Traders are advised to monitor key levels between $168 and $170 for signs of buying support. If buyers emerge, the ETF narrative could drive a new upward leg. If not, a slower decline may follow as the market awaits clarity from regulatory developments in Washington [1].

Source: [1] Should You Buy Solana After the ETF News? (https://cryptoticker.io/en/should-you-buy-solana-after-the-etf-news/)