SOL Attracts Institutional Interest: 6 Days of Inflows Noted in SOL ETFs, Outpacing BTC, ETH

Key Points

• Institutional interest is shifting from Bitcoin and Ethereum to Solana.
• Solana’s ETFs have recorded six straight days of inflows since their launch.

Institutional investors are showing increased interest in Solana, moving away from Bitcoin and Ethereum. This shift is reflected in the exchange-traded funds (ETFs) of these cryptocurrencies. While ETFs for Bitcoin and Ethereum in the US continue to experience outflows, Solana’s ETFs have seen inflows for six consecutive days following their launch on October 28-29.

US Solana ETFs Register Consistent Inflows

On November 4, Solana’s ETFs saw inflows exceeding $14.8 million. This marked the sixth day in a row of positive inflows into these crypto products.

Bitwise’s BSOL recorded over $13.1 million in inflows, while Grayscale’s GSOL saw $1.67 million in inflows, according to data from SoSoValue.

Since October 28, US-based Solana ETFs have only seen positive inflows, with the largest inflow day being November 3, when over $70 million flowed in.

Bitwise and Grayscale Solana ETFs

Bitwise’s Solana Staking ETF, BSOL, went live on October 28 and has seen a cumulative flow of over $275 million since then. Grayscale’s Solana ETF, GSOL, which went live a day later, has recorded over $8.7 million in net inflows. Neither of these two crypto products has experienced a day of outflows since their launch.

These crypto products were introduced in the US following the launch of Hong Kong’s first Solana ETF on October 27.

The continued inflows into Solana’s ETFs reflect the growing institutional interest in Solana, moving away from Bitcoin and Ethereum.

Decreasing Institutional Interest in Bitcoin and Ethereum

US-based Bitcoin ETFs have recorded five consecutive days of outflows since October 29, with the largest outflow day being November 4, with over $577 million in outflows. Ark and 21Shares’ Bitcoin ETF saw the largest outflows on that day, exceeding $128 million.

Since October 29, Ethereum ETFs have also only recorded negative flows. The largest outflow day was on November 4, when these crypto products saw over $219 million in outflows. BlackRock’s ETHA saw more than $111 million in outflows on that day.

Solana Attracts New Capital

The capital trajectory in US ETFs reflects a clear shift from Bitcoin and Ethereum to Solana, amidst a very volatile market. Vincent Liu, chief investment officer at Kronos Research, recently stated that this pattern reflects a growing macro unease and Solana’s appeal to new, “curious” capital.

He mentioned that while other cryptocurrencies struggle amidst macro chaos, Solana’s speed, staking, and narrative keep its momentum upwards.

Solana is recognized for its high speeds, low fees, and network stability. Despite the current market volatility, it continues to attract institutional interest.