Solana Surges 4% to $130 on Canada's Spot ETF Launch

Solana (SOL) has experienced a significant surge, rising nearly 4% to trade around $130. This upward momentum was driven by the launch of Canada’s first-ever spot Solana ETFs and a substantial increase in network inflows. This development has sparked renewed optimism among investors and analysts, positioning Solana for a potential breakout in the near future.

The Ontario Securities Commission has approved several Canadian asset managers, including Purpose Investments, 3iQ Corp, Evolve Funds, and CI GAM, to launch spot Solana ETFs on the Toronto Stock Exchange starting April 16-17. This move provides North American investors with direct, regulated access to SOL without the need for digital wallets or exchanges. Purpose Investments’ Chief Innovation Officer, Vlad Tasevski, highlighted that Solana represents the next wave of blockchain innovation, being lightning-fast, scalable, and powering real-world applications. The ETF also offers staking rewards powered by Purpose’s proprietary validator infrastructure, potentially boosting investor returns by eliminating third-party costs. Institutional interest is also on the rise, with Ark Invest recently investing about $4.95 million into the 3iQ Solana Staking ETF, indicating growing confidence in Solana’s long-term prospects.

On-chain data reveals a dramatic rise in Solana staking deposits, up by 2 million SOL, worth around $270 million in just four days. This influx reflects firm investor conviction and reduces the circulating supply. This surge coincides with Solana reclaiming its lead in decentralized exchange (DEX) activity over Ethereum and a 12% increase in total value locked (TVL) to $7.08 billion, solidifying its position as a DeFi powerhouse. Technical analysis supports this bullish momentum. Solana’s 4H price chart shows an inverse head-and-shoulders pattern, a classic bullish reversal, with analysts eyeing a potential 40% Solana rally toward $190. With Canada’s ETF launch opening new doors and network fundamentals strengthening, Solana appears poised for a major breakout.

SOL commenced trading with a price of $131. Half an hour into the day, a golden cross formed as SOL climbed up to $132. Correction soon arrived, and SOL was sent back to the $129.5 mark for support. At 4:05 AM, a wide golden cross formed on the MACD indicator, and SOL reacted, rapidly climbing to $135.2 by 7:25. With Solana now heavily overbought, a trend reversal was predicted. The reversal arrived with the 6:55 death cross as SOL was brought down to $132.7. It tried to ascend again, but another downturn led SOL to dip to $131 by 15:00. At this point, oversold conditions persisted as a massive golden cross formed on the MACD. SOL followed suit and rose rapidly to test the $135 resistance. This attempt was unsuccessful as SOL faced heavy correction, plunging to $132 again. As the bulls pushed the price above, SOL established a new support at $133.3. Since late hours of April 17, the SOL price has been showcasing range-bound behaviour, testing the $135 resistance on multiple occasions.

SOL has staged an impressive comeback since the Black Monday market crash. However, the progress seems to be stalled for a few days, with the $135 mark posing stern resistance. Even as of now, SOL seems to be lacking enough buying pressure, with any advances towards $135 facing strict downturns. Given that, today, Solana might relinquish the support before hatching any plans to ascend. According to the analyst's forecast, Solana could potentially hit $150, but this remains to be seen as the market dynamics continue to evolve.