The approval of spot Ether (ETH-USD) ETFs in the U.S. has given the crypto market a major boost and could be a big step forward in crypto regulation. Analysts from brokerage firm Bernstein think Solana (SOL-USD) ETFs might be next.
Regulatory Shake-Up
Bernstein analysts Gautam Chhugani and Mahika Sapra see the potential approval as a sign of a softer regulatory stance, possibly influenced by the upcoming November elections. They suggest that if Donald Trump is elected, “crypto could see significant legislative and agency support” with a new SEC leadership.
Approving a spot Ether ETF would be groundbreaking, marking the first time a non-Bitcoin blockchain asset is classified as a commodity. This could pave the way for similar treatment of Ethereum’s rivals, particularly Solana.
Market Buzz
CNBC “Fast Money” trader Brian Kelly predicts that a spot Solana ETF could follow, saying Bitcoin (BTC-USD), Ethereum, and Solana “are probably the big three for this cycle.” He added that Robinhood (NASDAQ: HOOD) and Coinbase (NASDAQ: COIN) now have “some clarity on what a security is and what a security isn’t,” suggesting these two firms are the largest beneficiaries from regulatory clarity.
Bernstein predicts a price surge for Ether similar to the 75% increase seen after the approval of spot Bitcoin ETFs. Earlier this week, ETH’s price surged over 20% as optimism about these funds grew.
The report highlights Ether’s attractive supply dynamics—with nearly 40% locked in staking and DeFi protocols, and a significant portion inactive for over a year. On-chain data shows the number of small ETH investors hit a new all-time high, while larger investors are lagging behind.
Is Solana a Buy?
According to TipRanks’ Summary of Technical Indicators, Solana is a Buy.
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