Solana (SOL) Price Looks Prime for a 45% Rally According to One Top Crypto Trader

His bullish forecast comes after the US Securities and Exchange Commission (SEC) dismissed a lawsuit against Helium, a protocol that runs on the SOL blockchain.

The US Securities and Exchange Commission (SEC) has dismissed charges against crypto protocol Helium, which had sparked a rally in Solana (CRYPTO: SOL) price on Thursday morning.

What Happened: The regulator sued blockchain startup Nova Labs, the developer of the Helium protocol, in January. The complaint alleged that the company had raised funds illegally by selling unregistered securities in the form of the HNT token to fund the development of the crypto protocol.

The lawsuit was filed just before the departure of former SEC Chair Gary Gensler, who had been a vocal critic of the crypto industry. However, the current SEC Chair, Romana Webb, is known for her pro-crypto stance and has vowed to take a more lenient approach to regulating the industry.

Recently, the SEC unveiled a new approach to regulating the crypto industry, which may involve registering tokens as securities.

Helium, which started as a decentralized wireless network, announced on Wednesday that the SEC had dismissed the case with prejudice, which means that the regulator cannot file a similar case against the company in the future.

“We are pleased to announce that the SEC has dismissed the case against Nova Labs with prejudice. This is a huge win for the entire Helium community, as well as other crypto projects which use hardware to build their networks,” said Helium founder Cameron Mellema.

The crypto community reacted quickly to the news, with many speculating that the HNT price would soar now that the case had been closed and the SEC would not be able to interfere further.

The lawsuit had also sparked a rally in Solana, the blockchain on which Helium’s protocol now runs. After merging with the Solana blockchain in 2023, the crypto protocol announced in January that the SEC was suing the startup for defrauding investors.

Related Link: Top 5 Crypto Movers: APE, HNT Show STEEP Moves As Solana Sparks Interest

Why It’s Important: The SEC’s decision to drop charges against Helium is a significant development for the crypto industry. It signals that the regulator may be taking a more lenient stance towards crypto startups.

The regulator has been increasingly active in policing the crypto sector. Earlier this week, the SEC sued two more crypto firms, and it is also investigating several other companies.

The SEC’s lawsuit against Helium was one of the highest-profile cases to be filed by the regulator. The case had been closely watched by the crypto industry, as it could have had major implications for how crypto projects are funded in the future.

Solana price is currently showing strength as it trades at $124 with a 5% gain in 24 hours.

One trader, Ansem, is predicting that the altcoin may be on the verge of a massive 45% rally towards $180.

Sharing a Solana daily timeframe chart, the analyst pointed out that the coin was seen testing the multi-year support zone of $121-$122.

“If Solana manages to close above $120 on the weekly chart decisively, it will kickstart a 45% rally to $180 within a few weeks. From there, it may continue to new all-time highs.”

Another trader, CryptoCurb, agreed with this bullish outlook, adding that Solana will rally not only because of a bullish technical outlook but also robust fundamentals.

“People are grossly underestimating how high Solana will go. Solana is the first blockchain that is being globally adopted at scale.”

This bullish view comes amid speculation that Solana will outperform Ethereum and possibly attain half of ETH’s market capitalization.

With catalysts like a crypto-friendly SEC, buying activity that has helped SOL defend critical support and positive sentiment, Solana price may post a 45% gain.