The investment director of Bitwise, Matt Hougan, suggested that the cryptocurrency Solana has a chance to become a new asset that financial giants from Wall Street will invest in.
Hougan is confident that SOL will grow in the same way as the main cryptocurrencies - Bitcoin and Ether. The expert explained that the price of Bitcoin surged sharply after the launch of spot exchange-traded funds (ETFs) for Bitcoin in the USA in January 2024. The massive influx of capital into cryptocurrency ETFs, the increase in the number of companies selling corporate bonds to buy Bitcoin, and growing investor concerns about the devaluation of government currencies contributed to the threefold rise in the price of Bitcoin.
The top manager of Bitwise noted that Ethereum followed a similar trend. The altcoin began to grow noticeably in April when the inflow of investments into Ethereum ETFs started to increase due to the excitement around asset tokenization. BitMine, considered one of the largest holders of Ethereum, also contributed to the coin's growth by purchasing this altcoin, Hogan added.
He expects that soon a bullish trend will also come for Solana if the U.S. Securities and Exchange Commission (SEC) approves applications from companies wishing to launch ETFs linked to SOL. Bitwise is one of those companies. Hogan also mentioned the upcoming Solana upgrade - Alpenglow, which aims to reduce transaction processing times on the blockchain to 100-150 milliseconds. The interest of companies in asset tokenization may also become a key growth catalyst for SOL, Hogan is confident.
A few days ago, Helius Medical Technologies, whose shares are traded on the American stock exchange Nasdaq, purchased 760,190 SOL for $167 million. The company hopes to diversify its investment portfolio in this way.
