Key Points:
- Strong Inflows: The newly launched Solana ETFs attracted over $400 million in weekly inflows.
- Support Breakdown: The price of SOL has dropped below its crucial support level, triggering worries about a fall to the $120–$100 range.
Spot Solana (SOL) ETFs kickstarted trading with impressive inflows, validating strong institutional interest in the network’s primary asset. On Monday, these ETFs witnessed a record inflow of $70 million in just one day, totaling $269 million since their launch on October 28.
Spot SOL ETF flow: Source: Farside.co.uk
According to Bitwise, two of the Solana ETFs have attracted a combined inflow of $199.2 million in their first week alone, effectively showcasing investor confidence within this sector. Notably, Bitwise’s BSOL ETF was the leader, accumulating $401 million in assets under management (AUM) by October 31, representing over 9% of the global total for Solana ETPs.
Total SOL ETP net weekly flows: Source: Bitwise
As SOL aims to stabilize, the market is keeping a vigilant eye on its performance after a recent significant decline of over 16%, reaching a low of $148.11—its weakest point since early July. With crucial support being tested around the $155 mark, analysts suggest that failure to maintain this could result in further falls to the $120–$100 range.
Solana one-day chart: Source: Cointelegraph/TradingView
Overall, while the inflows into Solana ETFs signal a positive institutional interest, the current price action casts uncertainty over future price stability. The upcoming period will be crucial for Solana as it endeavors to regain its upward momentum.
