Expert Predicts Solana-ETF Launch in Q1 2025 Amid Trump’s Potential Victory
November 6 marked significant growth in the cryptocurrency market, driven by the increasing possibility of Donald Trump's victory in the U.S. presidential elections. Daniel Chung, co-founder of Syncracy Capital, provided insight into the evolving scenario and shared forecasts on upcoming market trends.
Chung foresees the launch of spot Solana-ETFs in the first quarter of 2025. Should this prediction hold true, the underlying asset could break the $1,000 mark. He believes that Solana (SOL) will surpass Ethereum (ETH) in terms of growth rate, emphasizing that the Solana-ETF launch could become a pivotal milestone.
"I believe the cryptocurrency market is heading towards a biblical bull run, potentially eclipsing the 2021 surge," said Chung.
Sharing his views on social media platform X, Chung outlined potential market trends that could unfold if Donald Trump secures victory in the upcoming presidential election—a prospect that looks increasingly likely. Chung equated Trump's presidency to a "four-year call option on the Bitcoin market," referencing Trump’s intentions to bolster Bitcoin as a reserve asset, potential changes in SEC leadership, and the increased likelihood of regulatory sandbox initiatives.
According to Chung, retail interest in crypto assets has remained relatively low. However, Trump’s victory could act as a catalyst, sparking widespread adoption across the industry.
Key predictions from Chung include:
- Bitcoin as a Reserve Asset: The acceptance of Bitcoin as a reserve asset could propel its price to $250,000 within a four-year cycle.
- Leadership Change at the SEC: The anticipated resignation of SEC Chair Gary Gensler and a subsequent shift in the regulatory approach could pave the way for the approval of spot Solana-ETFs, potentially pushing SOL above $1,000.
- Emergence of New ETFs: In time, other cryptocurrency ETFs investing directly in assets, rather than derivative products, are expected to surface.
- Outpacing Stock Market Indices: Crypto assets may surpass stock market indices in growth as a "global easing cycle" creates favorable conditions for high-risk products.
Rumors surrounding the potential launch of Solana-ETFs gained traction following the approval of Ethereum-based exchange-traded funds. Bloomberg Intelligence analyst Eric Balchunas indicated that this would likely require a change in SEC leadership due to classification complexities. Unlike Bitcoin, which is viewed more as a commodity, Solana and similar assets often straddle the line between commodities and securities.
On the morning of November 6, 2024, the cryptocurrency market witnessed a substantial surge as U.S. election results unfolded. Bitcoin, in particular, reached an all-time high, signaling optimism among investors.