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Solana Price Forecast: SOL rebounds above $210 as spot Solana ETF S-1 amendments boost sentiment

  • Solana price trades above $210 on Monday, rebounding from the 61.8% Fibonacci retracement level.
  • A fresh wave of spot Solana ETF S-1 amendments was filed by Franklin, Fidelity, CoinShares, Bitwise, Grayscale, VanEck, and Canary.
  • The technical outlook points to a potential continuation of the recovery toward the $230 level.

Solana (SOL) trades above $210 on Monday after rebounding from the key support last week. The recovery follows a series of spot Solana Exchange Traded Fund (ETF) S-1 amendment filings from leading asset managers. The move has boosted sentiment across the market, with technical indicators suggesting further upside potential.

Solana’s S-1 amendments for spot ETFs boost recovery

ETF Store CEO Nate Geraci noted on his X account on Saturday that major players, including Franklin, Fidelity, CoinShares, Bitwise, Grayscale, VanEck, and Canary, have filed another round of S-1 amendments for spot Solana ETFs. 

He highlighted that the filings include staking provisions, which he said “bodes well for spot Ethereum ETF staking.” Geraci added that he expects approvals could come within the next two weeks.

In the short term, the wave of Solana ETF S-1 amendments has lifted market sentiment, pushing SOL price up nearly 4% since Saturday’s announcement. In the long run, if approved, these ETFs could have a bullish impact on Solana’s native token by allowing investors to gain exposure without directly holding SOL, while also enhancing liquidity, legitimacy, and overall adoption.

https://twitter.com/NateGeraci/status/1971725214510993425

Apart from spot ETFs, the development news on the SOL blockchain adds a bullish outlook. According to Wu Blockchain, Jump’s Firedancer team has introduced proposal SIMD-0370, which aims to remove Solana’s fixed compute unit (CU) block limit after the Alpenglow upgrade

Currently, blocks have a static cap of 60 million CUs (set to increase to 100 million under SIMD-0286). The new proposal would allow block producers to pack in as many transactions as possible, while slower validators that cannot keep up would skip blocks. This development would create a cycle where block producers earn more rewards, lagging validators are incentivized to upgrade, and overall network capacity increases. In effect, Solana’s throughput would no longer be constrained by fixed limits but would instead scale dynamically with validator performance.

https://twitter.com/WuBlockchain/status/1972114715175538975

Solana Price Forecast: SOL bulls aiming for a level above $230

Solana price closed below the daily support level at $230 on September 22 and declined by 10.55% by Thursday. On Friday, it recovered after finding support around the 61.8% Fibonacci retracement level at $193.52 and closed above the 50-day EMA at $208.81 on Sunday. At the time of writing on Monday, it trades at around $210.

If the $193.52 continues to hold as support, SOL could extend the rally toward the daily resistance at $230.

The Relative Strength Index (RSI) on the daily chart reads 46, pointing upwards and nearing its neutral level of 50, which indicates a fading bearish momentum. For the recovery rally to be sustained, the RSI must move above the neutral level.

SOL/USDT daily chart 

SOL/USDT daily chart 

However, if SOL breaks below the 61.8% Fibonacci retracement level at $193.52, it could extend the decline towards the next daily support at $184.13.

Author

Manish Chhetri

Manish Chhetri is a crypto specialist with over four years of experience in the cryptocurrency industry.

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