Brazil Greenlights Second Solana Spot ETF: Here’s What it Means for SOL’s Price

cryptonews.com:

Harvey Hunter is a Junior Content Creator at Cryptonews.com. With a background in Computer Science, IT, and Mathematics, he seamlessly transitioned from tech geek to crypto journalist.

Over the past 24 hours, Solana’s price has experienced a notable 2.79% dip, contributing to the wider market’s decline.

This downward movement occurs amidst a significant development in Brazil, where the country’s financial regulator approved the second Spot-Based Solana Exchange-Traded Fund (ETF).

However, this hasn’t alleviated Solana’s recent struggles. The altcoin remains 2.23% down since last Wednesday, underperforming most major altcoins and failing to gain the traction needed to break out of its current range.

Despite the ETF approval, engagement in Solana remains low, with trading volume crashing 28.55% to $1.657 million in the past 24 hours

Brazil’s Securities and Exchange Commission (CVM) approved its second Solana ETF, dubbed “Hashdex Nasdaq Solana Index Fund,” managed by Hashdedx, in collaboration with major Brazilian investment bank BTG Pactual.

The sub-par market reaction to this news may be attributed to the fact that the ETF is still in its pre-operational stage – it is not yet openly tradable for investors. As a result, Solana’s price has yet to benefit from potential inflows that the ETF could generate.

This new approval comes shortly after the CVM greenlit Brazil’s first Solana ETF, introduced by QR Asset Management, on August 8.

Likewise, QR Asset’s ETF is still in its pre-operational stage, awaiting final approval from the B3 stock exchange, and is expected to launch in the next two months.

The addition of another Solana ETF has widened the floodgates for institutional capital, expanding its reach into the traditional finance