SEC Removes Solana from Securities Classification: Implications for SOL Value

Solana has experienced a decline of 5% over the last 24 hours, with the SOL price decreasing to $182 on a day when the cryptocurrency market has seen a nearly 3% drop.

This decrease still positions SOL up by 3% for the week and by 29% for the month, with the altcoin maintaining an impressive 630% increase over the past year.

Today’s movement follows the Securities and Exchange Commission’s revision of its legal complaint against Binance, indicating that the court will no longer need to determine whether Solana and nine other tokens qualify as securities.

This development could be favorable for Solana, and if the SEC ultimately relinquishes its stance that SOL is a security, it may open the door for a Solana-based ETF.

SEC Excludes Solana from Securities Classification: Implications for SOL Price

After a setback in the past day, SOL’s chart suggests that it may be poised for a rebound shortly.

Its relative strength index (purple) has risen from 30 earlier today to just above 40 at the time of writing, indicating a resurgence of momentum.

Source: TradingView

Conversely, the coin’s 30-day average – which has been declining over the past 24 hours – appears to indicate that it may need to drop further before a significant recovery can occur.

This likely won’t entail a substantial loss, however, as SOL’s support level (green) has remained relatively stable over the past week.

Moreover, it can be argued that the recent SEC news hints at a not-too-distant future where the SOL price begins to rise significantly, with some traders anticipating that the SEC’s action could be a precursor to a Solana exchange-traded fund.

SEC no longer classing Solana as a security = probably a stronger chance of an ETF getting approved for it eventually https://t.co/cySXB5B9xV

— Nacho Trades (@NachoTrades) July 30, 2024

The timeline for a SOL ETF remains uncertain, yet the likelihood of such an ETF is certainly increasing with each passing month.

Initially, we saw spot Bitcoin ETFs in January, followed by Ethereum ETFs this month, while some institutions have already submitted applications for a similar fund for Solana.

It is also important to note that Solana continues to be a fundamentally robust token in its own right, with its platform accounting for $5.4 billion in total value locked in.

This figure has grown from $1.5 billion since January, as Solana has garnered increasing usage as a platform for meme tokens and NFTs.

This growth is likely to persist in the coming months, with the SOL price projected to reach $200 in the next few weeks.

A Solana ETF could enable it to surpass its record high of $259 by the end of the year.

Diversification into New High-Potential Meme Coins

Solana is currently the fourth-largest coin in the market and continues to show promise for future gains.

However, it will not be the only altcoin to experience significant returns in the upcoming months, as several newer tokens also appear ready to surge soon.

A notable example of this is the layer-two project Pepe Unchained (PEPU), which has raised over $6 million in its ongoing presale.

Chain after chain is broken!

Pepe has raised $6M! The revolution continues! pic.twitter.com/555bPCkWdE

— Pepe Unchained (@pepe_unchained) July 28, 2024

Pepe Unchained is developing a layer-two network for Ethereum, with its L2 offering instant transactions and competitively low fees.

It aims to become a genuine competitor to existing layer-twos such as Base and Optimism, with its network looking to cultivate its own ecosystem for meme tokens.

Additionally, Pepe Unchained is expected to provide double the staking rewards due to its scalability and efficiencies.

This will create a greater incentive to hold PEPU for the long term, and since the latter serves as the platform’s utility token, it could see significant demand once it launches.

The coin will have a maximum supply of 8 billion PEPU, with staking receiving 30% of this and its presale acquiring 20%.

Encouragingly, the coin’s X account now boasts over 9,000 followers, indicating the potential size of its community.

Read More: Pepe Unchained Price Prediction

Investors can participate in PEPU’s sale at the coin’s official website, where they can purchase PEPU using either ETH, BNB, USDT, or fiat currency.

It is currently priced at $0.0087693 per token, although the success of its sale suggests that it will rise significantly once it lists.

Buy PEPU Now

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