Solana Price Faces 12% Fall as SEC Delays Decision on Bitwise Spot SOL ETF

•  A rising wedge pattern supports the mid-term uptrend in Solana price.
• The U.S. delays its decision on the Bitwise spot SOL ETF to assess whether the proposed rule change meets the requirements of the Securities Exchange Act.
• A bullish crossover between the 100-and-200-EMA slopes flashes as a bullish signal for SOL’s long-term trend.

SOL, the native cryptocurrency of the Solana network, plunged over 6.3% during Thursday’s market session to trade at $188.4. The sudden sell-off aligns with Bitcoin’s dips below $120,000 amid the macroeconomic conditions in the U.S. market. However, the Solana price faces additional bearish momentum as the Securities and Exchange Commission (SEC) has delayed its decision on the Bitwise spot Solana (SOL) ETF. Will this altcoin dive into a deeper correction below the $180 floor?

U.S. SEC Delays Decision on Bitwise Solana ETF

On Thursday, August 14th, the crypto market witnessed a sudden sell-off amid the regulatory and macroeconomic developments in the United States. As a result, the Bitcoin price dives below $118,000, and the majority of major altcoins, including Solana, face similar momentum.

However, the Solana price faces additional pressure as the U.S. SEC has delayed its decision on the Bitwise spot SOL ETF. Bitwise submitted this ETF in January 2025 via the BZX Exchange and aims to provide investors with regulated exposure to Solana price movement.

The news has likely demotivated SOL investors, as many were expecting an approval soon, especially as the spot Bitcoin and Ethereum ETFs are gaining strong popularity, attracting a massive flow of funds in this market.

This delay will allow the SEC some more time to assess the application and decide if the proposed rule change meets the requirements of the Securities Exchange Act. The decision also highlights the SEC’s cautious stance on crypto-related ETFs beyond Bitcoin and Ethereum, as even other altcoin applications are facing delays.

Despite regulatory challenges, some analysts believe that the SOL ETF remains among the top candidates to eventually get its approval in the U.S. in 2025

Once approved, the spot SOL ETF would boost Solana’s mainstream adoption and market liquidity, subsequently pushing its coin price for a higher rally.

Solana Price to Drive Prolonged Correction With Wedge Pattern

Following the intraday sell-off, the Solana price currently trades at $190.7 and maintains its current market cap at $103 billion. Interestingly, this reversal occurred precisely at the resistance trendline of a rising wedge pattern of the daily chart. 

Since late February 2025, the SOL coin price has been actively resonating within the patterns of converging trendlines, driving a slow yet steady recovery. So far, the price has bounced thrice from the upper boundary and twice from the bottom trendline, indicating how strongly this structure influences its potential trend movement.

The past performance within the wedge indicates a bearish reversal from the resistance trendline had plunged the coin value in a range from 24% to 47%. Currently, this altcoin stands just 2% short of challenging a key horizontal support of $187.7. A bearish breakdown below this support will accelerate the selling pressure and drive the price another 12.5% down to retest the bottom trendline around the $162 floor.

Until the pattern is intact, the Solana price could maintain its midterm bullish trend.

SOL/USDT -1d Chart

That said, the 100-day exponential moving average has recently crossed above the 200-day EMA slope, accentuating the bullish market sentiment. Therefore, if the coin price holds above the $187.7 mark, it could drive a short sideways trend, regaining its bullish momentum for the wedge pattern breakout.

Also Read: Will Ethereum Price Recovery Surpass the $5,000 Barrier?