Solana (SOL) Not Security: SEC Has Major Change of Heart

A change in the legal environment for a number of significant cryptocurrencies, including Solana, could result from the SEC's announcement that it will revise its complaint against Binance.

The action taken by the SEC indicates a change in how they will demonstrate that some tokens — which were formerly classified as Third Party Crypto Asset Securities — are in fact securities.

The SEC has made a significant change by notifying the court and Binance that it intends to request permission to modify its complaint. This amendment modifies the terms of the Third Party Crypto Asset Securities, which include tokens such as Solana.

By taking this action, the SEC hopes to modify its approach and possibly avoid the need for the court to make a decision on the veracity of the claims made about these tokens at this particular time. There has been disagreement over SOL's classification as a security, but the SEC's decision to possibly cancel its allegations may offer the token some short-term respite.

Given that Solana's price has been quite volatile, the SEC's decision might greatly affect it. Solana has successfully broken through multiple local resistance levels and is currently trading at about $181. Based on its current price action, Solana appears to be well-positioned for additional growth, potentially reaching $200.

A strong breakout could be disrupted by a comparatively low trading volume. The outlook for Solana and other cryptocurrencies has been gradually improving, with investors feeling cautiously optimistic about potential price increases. Nonetheless, the regulatory environment and the SEC's actions continue to be extremely important in determining the direction of the market.