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SOL ETF, BTC and ETH Surge, Pepe Primed for 70% Surge

SOL ETF, BTC and ETH Surge, Pepe Primed for 70% Surge

This week in web3 via NettyBytes

Alcides Aguasvivas
June 12, 2024

NettyWorth is a social marketplace where you can Chat, Manage and Borrow against your digital assets.

1. Speculation Grows Around Potential Solana ETF Amid Rising Demand

Potential launch of a Solana (SOL) exchange-traded fund (ETF) following the debut of spot bitcoin ETFs and the anticipated launch of spot ether ETFs. Solana, the fifth most valuable cryptocurrency, faces challenges in getting an ETF approved, primarily due to the absence of regulated futures contracts for SOL, unlike bitcoin and ether. The Grayscale Solana Trust (GSOL) trades at a massive premium due to its low share count and high demand. Observing the price movements of GSOL relative to its net asset value (NAV) may provide insights into the likelihood of a future SOL ETF, though its current premium makes it an imperfect indicator.

2. Bitcoin and Ethereum Surge as U.S. Inflation Slows in May

The prices of major cryptocurrencies, including Bitcoin and Ethereum, surged on Wednesday after the U.S. Consumer Price Index (CPI) report showed a smaller-than-expected inflation increase in May. The CPI rose by 3.3% over the past year, slightly below the forecasted 3.4%. This report led Bitcoin to rise by 2.8%, reaching nearly $70,000, while other cryptocurrencies like Ethereum and Solana also saw gains. The stock market responded positively as well, with the S&P 500 and Nasdaq Composite opening higher. The Federal Reserve's upcoming policy meeting is expected to maintain the current interest rate, with growing expectations for a potential rate cut in September. This speculation has bolstered confidence in Bitcoin's strength against the dollar, with analysts predicting a potential test of previous highs. The cryptocurrency market saw fewer liquidations compared to a flash crash last Friday, indicating more stable trading conditions.

3. Pepe Primed for 70% Surge as Key Indicators Signal Strong Bullish Momentum

Source: Pixelmon

As of June 11, Pepe (PEPE) is showing strong signs of a potential 70% price increase by July due to three main factors. The price is near the lower trendline of a rising wedge pattern, suggesting support and a likely rebound to the upper trendline around $0.00002661. This support is reinforced by the 50-day exponential moving average and the 1.0 Fibonacci retracement line. Additionally, the largest PEPE investors are maintaining their positions despite price corrections, while smaller holders are actively accumulating, indicating increased market confidence and broader interest among retail investors. Lastly, expectations for Federal Reserve interest rate cuts in September, driven by increasing unemployment rates and lower bond yields, may boost traders' appetite for riskier assets like memecoins, including PEPE.