Solana ETF forecast by top analyst

Bloomberg senior analyst Eric Balchunas predicts that crypto exchange-traded funds (ETFs) will continue to grow in popularity following the introduction of the Ethereum ETF.

In fact, Balchunas believes that a Solana ETF could be the next to hit the crypto market.

Solana ETF in the spotlight

The SEC has extended its ruling on Ethereum ETF trading licenses from July 18, 2024 to July 23, 2024. This delay has sparked further discussions in the crypto community.

Balchunas shared his thoughts on X. He emphasized that the approval of the Ethereum ETF will pave the way for other crypto ETFs, with Solana possibly next in line. The Solana ETF believes it will follow Ethereum's lead due to its high transaction speed and scalability, similar to Bitcoin and Ether.

“After the launch of the Ether ETF, more flows and more Ethereum products, then Solana, and maybe not at the end. The dam is broken,” Balchunas said.

Read more: Solana ETF explained: what it is and how it works

It's worth noting that VanEyck registered for the Solana ETF on June 27 and filed an S-1 registration statement as its first investment manager. The firm focuses on this asset, advocating that it be classified as a commodity.

In an interview with Tony Edwards of Think Crypto, Matthew Siegel, head of digital assets research at VanEck, discussed Solana's potential. In terms of decentralization and blockchain features, Solana compared it to Ethereum and expressed optimism.

“We concluded that Ethereum and Solana are essentially the same at this point. No one party controls more than 20% of Solana, nor can they unilaterally stop the chain. Solana is a utility that provides access to the second largest open source app store,” Siegel said.

Read more: Solana (SOL) Price Prediction 2024/2025/2030

Given the excitement surrounding Solana, data from CoinGecko shows that it is currently experiencing significant pressure. The asset is trading at $161, up 10.94% since Monday's open.