Solana has seen the formation of a 2-year wide Cup and Handle pattern.
Based on these charts, analyst Ali Martinez estimates SOL's price is expected to reach $4000.
Solana could also see the approval of its ETF by mid-2025, which could support this super rally.
After reaching a new ATH of $263.83, SOL has corrected to $217 at press time.
Crypto analyst Ali Martinez has shared a unique and highly bullish chart on Solana. The long-term chart spans from 2022 to 205 and shows the formation and completion of a cup and handle pattern in a 2-year timeframe.
This ultra-long chart pattern shows that Solana could rapidly move towards $4000 price levels on the breakout, possibly beating Ethereum as the second largest crypto.
The cup and handle are super bullish chart patterns with high prediction accuracy. Further, the occurrence of this pattern over a long timeframe indicates that Solana could see rapid growth in the next year or so.
Solana has been highly bullish in the last year owing to the phenomenal growth in its memecoins. Even without the ETF, it had beaten Bitcoin in terms of growth in the last one year. With the support of an ETF, Solana might soon emerge as the largest altcoin, possibly beating Ethereum.
Though it has been dubbed an Ethereum killer in the past, Solana was never considered a serious challenger. However, if the current predictions are to be believed, that might change soon.
Earlier this year, VanEck estimated that Solana's ETF could arrive in 2025. The chances of an ETF approval were boosted after Donald Trump secured a historic win in the US Elections.
The USA is the largest crypto market in the world and has been a very welcoming market for crypto ETFs. This could make the Solana ETFs an instant success because of the immense popularity of their memecoins.
Lately, both Bitcoin and Ethereum ETFs have seen very high inflows. Bitcoin ETFs have received a good reception and increased their AUM to $110 billion this week. The same is true for Ethereum ETFs, which have seen a net industry AUM of $12 billion.
Now that Trump has appointed two pro-crypto candidates, Paul Atkins as the chair of the SEC and David Sacks as a policy advisor in the White House for AI and Crypto, we expect Solana and XRP ETFs to be a few months away from approval.
At present, there are three main ETF applicants for Solana: VanEck, Grayscale, and 21Shares.
Lately, altcoins have become highly undervalued compared to Bitcoin. Several experts, like Kevin Capital TA and Ryan Sean Adams, estimate the end of this undervaluation with Ethereum, seeing a possible valuation of around $10k to $15k.
Further, the ETH/BTC charts suggest a possible 3000% rally based on strong historical chart patterns. If such a resurgence repeats in 2024, we may see ETH at least at $100k. This further affirms the possibility of a $4000 SOL.
At present, Solana is very highly reliant on meme coins for its growth. Though this has been going well for Solana in 2024, memecoins cannot guarantee consistent growth. This is because most of the memecoin markets are based on "attention marketing," which only works for a short period. Some exceptions exist, such as Shiba Inu and Floki Inu.
Solana also ventured into the smartphone business, which was highly successful. The Saga Phone by Solana was only manufactured in a small number of 20,000 phones. However, this phone alone cannot sustain the $4000 price tag that Solana seeks to achieve.
Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information but will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.