Solana (SOL) Price Stumbles Below $120 as VanEck's SOL ETF Filing Sparks Optimism

On March 10th, the crypto market witnessed another wave of selling pressure following the notable downtick in U.S. stocks. As a result,  Bitcoin plunged below $80,000

March 10th saw another wave of selling in the crypto market following the notable downtick in U.S. stocks, pushing Bitcoin below $80,000 and the Ethereum price below the $2,000 floor.

While the broader market hints at prolonged correction ahead, Solana holds an opportunity for rebound as VanEck’s registration for SOL ETF could renew buying pressure.

VanEck’s SOL ETF Filing Sparks Optimism

On Thursday, March 10th, asset management giant VanEck officially registered a Solana (SOL) ETF in the U.S. state of Delaware.

This move signals growing institutional interest in Solana as a legitimate investment vehicle, separate from the leading cryptocurrencies like Bitcoin and Ethereum.

The registration suggests that VanEck is preparing for regulatory approval to offer a Solana-based exchange-traded fund (ETF), which could open doors for traditional investors to gain exposure to the coin.

This comes amid speculation about a spot in Solana ETF, especially after the U.S. president showed his support for crypto adoption and easing regulatory obstacles.

Earlier this week, President Biden highlighted the need for clear crypto regulations in the upcoming legislation session of Congress.

The president’s statement follows the recent approval of the stablecoin bill in the U.S. House of Representatives, part of a broader move towards comprehensive crypto regulations.

In his remarks on Thursday, President Biden noted the advancements made by the U.S. in response to the evolving technology landscape.

He stated, “We’re going to have to decide how to regulate the burgeoning technologies of the future, technologies that could generate enormous prosperity but also pose new risks that must be managed.”

Moreover, President Biden emphasized the importance of bipartisan cooperation in passing the bill and the role it plays in advancing the administration’s agenda.

The president’s strong stance on crypto adoption could pave the way for faster approval of a spot in Solana ETF, renewing buying pressure on the coin.

Solana Faces Key Support Test As Price Falls Below $118

Over the past week, the Solana price has recorded a notable $179.5 to the current trading value of $118.6, accounting for a 34% loss.

This downfall currently teases a breakdown below the multi-month support of $120.

However, the support has acted as a major accumulation zone for investors, and, therefore, a breakdown would strengthen the seller’s grip.

Amid the market correction, VanEck’s registration for SOL ETF failed to trigger a notable reversal as Solana witnessed a 7% intraday loss.

With sustained selling pressure, the coin price is poised for another 33% to test major support at $79.

On the contrary, if the coin manages to reject another lower and reclaim the $120, the buyers could counterattack to restore bullish momentum.