Morgan Stanley files a Form S-1 application for Solana Trust in the US

• Morgan Stanley files S-1 for a trust tracking Bitcoin(BTC) and Solana (SOL).
• The trust will stake SOL, reflecting rewards in its NAV.
• SOL price rises 2.44%, breaking key Fibonacci resistance.

Morgan Stanley has officially filed a Form S-1 application with the US Securities and Exchange Commission (SEC) to establish Bitcoin and Solana Trusts.

The move highlights the bank’s growing interest in the cryptocurrency sector. It also reflects Morgan Stanley’s strategy to provide clients with diverse investment opportunities in digital assets.

The proposed Solana Trust will allow investors to gain indirect exposure to Solana (SOL) without holding the cryptocurrency directly.

Morgan Stanley’s institutional push into Solana

The S-1 filing outlines plans to structure the Solana Trust as a Delaware statutory trust.

Shares in the trust are expected to track the performance of SOL through a designated pricing benchmark.

The trust will also stake a portion of its Solana holdings through regulated third-party providers.

This staking mechanism allows rewards to be reflected in the fund’s net asset value (NAV).

Morgan Stanley’s involvement signals regulatory confidence in Solana-based financial products.

It mirrors the adoption path of Bitcoin ETFs, which saw significant inflows after bank-backed launches.

The trust is passively managed, meaning it will hold Solana without active trading or leverage.

Custody arrangements will involve regulated third parties to safeguard investor assets.

The S-1 filing remains preliminary, with sales permitted only after SEC effectiveness.

Investors seeking exposure to Solana through traditional brokerage accounts now have a potential path via this trust.

Implications for the crypto market

Institutional adoption like this tends to reduce sell pressure on staked assets.

Already, over 563 million SOL are staked across the network, supporting price stability.

The bank’s Bitcoin product will be called Morgan Stanley Bitcoin Trust.

The trust will hold Bitcoin outright similar to the Solana Trust, without the use of derivatives or leverage, and will calculate its net asset value daily based on a pricing benchmark drawn from major spot exchanges.

The fund will follow a passive strategy and will not actively trade Bitcoin in response to market conditions.

Notably, Morgan Stanley’s filing follows Bitwise’s $16.8 million Solana ETF inflows earlier this week.

It also coincides with a broader trend of altcoin rotation, as Bitcoin dominance dips and investors seek high-beta opportunities.

Regulators’ response will be closely watched, particularly in relation to the VanEck Solana ETF decision due by October 2026.

Market participants see this as a positive signal for Solana’s long-term growth and liquidity.

Solana price reaction

Solana’s price has responded to these developments with a notable rally.

In the past 24 hours, Solana (SOL) has risen by 2.44% to $138.77, outperforming Bitcoin (BTC) and closely tracking Ethereum (ETH).

The altcoin’s trading volume has also surged 43% to $5.1 billion, marking the strongest trading activity since December 2025.

Technical analysis shows SOL has cleared the 23.6% Fibonacci retracement at $138.45 and the 7-day SMA at $130.5.

The MACD histogram has also turned positive, confirming bullish momentum, and RSI-14 is also bullish, although nearing the overbought region.

The next resistance is at $151.18, with support at $117.88, aligning with Fibonacci levels.

The market will likely monitor whether SOL holds above the $138.45 support level to confirm continued bullish momentum.

The upcoming options expiry on January 7, however, adds a layer of short-term volatility, with $145 million in SOL contracts set to expire.