Solana ETF recorded a daily capital inflow of 58 million USD, marking a record high with a continuous net inflow of funds for 20 days against the trend.

On November 25, news came that the US Spot Solana ETF saw a net inflow of 58 million USD in a single day, setting a record for the highest net inflow since early November, and achieving a strong performance with 20 consecutive trading days of net inflows. Against the backdrop of a general fall in the global crypto market, the total Assets Under Management of the Solana ETF has approached 870 million USD, making it the most resilient digital asset ETF product by 2025. In stark contrast, the Bitcoin ETF experienced a net outflow of 3.7 billion USD during the same period, while the Ethereum ETF saw a loss of 1.64 billion USD, indicating that institutional investors are readjusting their digital asset allocation strategies.

In-Depth Analysis of Capital Flow: The Contrarian Rise of Solana ETF

According to data released by the SoSoValue platform on November 25, there was a net inflow of $58 million into the Solana ETF in a single day, with Bitwise's BSOL product contributing $39.5 million, accounting for 68% of the total, marking the third highest single-day inflow record since the product was launched at the end of October. Grayscale's GSOL, Fidelity's FSOL, and VanEck's VSOL recorded inflows of $4.66 million, $9.7 million, and $3.1 million respectively, creating a pattern of diversified capital absorption. This balanced distribution of funds indicates that institutional investors' optimism towards Solana is not limited to a single product but is based on overall confidence in this asset class.

(Source: SoSoValue)

From a time series analysis, the Solana ETF has demonstrated remarkable sustained appeal. During the six days from November 17 to November 24, these products saw a cumulative inflow of $178 million, raising the total net inflow to $568 million. More notably, since its listing on October 27, the Solana ETF only experienced a slight outflow in the first three trading days, after which it entered a continuous 20-day net inflow period, a stability that is rare in the highly volatile crypto ETF market.

The comparison with mainstream cryptocurrency ETFs highlights Solana's extraordinary performance. During the same period, Bitcoin ETF suffered a net outflow of $3.7 billion, and Ethereum ETF lost $1.64 billion, while Solana went against the trend by attracting $369 million. This trend of differentiation reflects that institutional investors are reassessing the risk-return characteristics of different digital assets and viewing Solana as an allocation option independent of Bitcoin and Ethereum. Analysts point out that this asset rotation may signal the crypto market entering a more mature stage of development.

From the perspective of market share, the Solana ETF currently manages $843 million in assets, accounting for approximately 1.09% of Solana's total market value. Although this ratio may seem low, considering the product has only been on the market for a month, its growth rate and potential are impressive. In comparison to the initial performance of the Bitcoin Spot ETF, which had an Assets Under Management of about 0.8% of Bitcoin's total market value in its first month, the Solana ETF's initial performance is actually slightly better.

Details of fund inflows for each issuer's Solana ETF

Bitwise BSOL: Single-day inflow of $39.5 million, total assets of $567 million

Grayscale GSOL: Daily inflow of $4.66 million, total assets of $118 million.

Fidelity FSOL: Daily inflow of $9.7 million, total assets of approximately $82 million.

VanEck VSOL: Daily inflow of $3.1 million, total assets of approximately $45 million.

21Shares TSOL: Continuous mild inflow, total assets of approximately 31 million dollars.

Canary SOLC: Stable capital inflow, total assets approximately 28 million USD

Market Landscape Changes: The Digital Logic of Institutional Fund Reallocation

Behind the strong performance of the Solana ETF is a profound shift in the allocation logic of institutional investors towards digital assets. Traditionally, institutions regarded Bitcoin as digital gold and Ethereum as a decentralized application platform, while Solana was classified as a speculative asset with high risk and high returns. However, as the Solana network continues to improve in terms of transaction speed, fee stability, and institutional-grade applications, this perception is undergoing a fundamental change. An increasing number of traditional financial institutions are beginning to incorporate Solana into their mainstream asset allocation framework.

From a fundamental analysis perspective, the activity of the Solana network provides solid support for its ETF performance. According to Artemis data, the number of independent active addresses on the Solana chain remained above 1.2 million in November, with monthly trading volume on decentralized exchanges exceeding $45 billion, ranking among the top of various blockchain networks. Particularly in the tokenization sector, projects like xStocks that bring U.S. stocks and ETFs onto the chain are choosing to build on Solana, further reinforcing its positioning as an institution-friendly infrastructure.

The attitude change of JPMorgan's analyst team towards the Solana ETF is quite enlightening. Initially, the bank predicted in January 2025 that the Solana ETF could attract $3-6 billion in capital inflows within 6-12 months of its listing, but after reassessing in October, it revised its expectations down to about $1.5 billion. Even according to the adjusted forecast, the current actual inflow of $568 million clearly exceeds the pace, indicating that the acceptance rate by institutions may be even faster than the most optimistic expectations.

The upcoming Solana ETF from Franklin Templeton is seen as the next important catalyst. This asset management giant, managing $1.5 trillion in assets, has submitted an application to the SEC, and once approved for listing, it is likely to bring a new wave of institutional capital to the Solana ETF, leveraging its large traditional client base and distribution network. Historical experience shows that when Franklin Templeton launches innovative ETF products, it typically attracts initial funding of $500 million to $1 billion in the first month.

Technical Divergence and Capital Flow: Investment Opportunities in Price Adjustment

Despite the continuous inflow of funds, the price of SOL tokens has shown a divergence from the technical trends. As of November 25, SOL trades around $137, down 1% for the day, with a cumulative decline of 13% over the past two weeks, and a drop of about 30% from the high a month ago. This phenomenon of inflow of funds and falling prices is typically seen as a positive signal in the ETF market, indicating that institutional investors are taking the opportunity of price adjustments to accumulate positions.

From a technical analysis perspective, SOL is currently in a complex adjustment pattern. Several analysts tracking the Elliott Wave Theory indicate that SOL may be experiencing a deeper C-wave decline, and if the current support level is lost, the downward target could point to the $80-95 range. Meanwhile, the SOL price has fallen below the 200-day exponential moving average, a situation typically associated with an extended consolidation period. Historical data shows that when asset prices fall below the 200-day EMA, it averages 42 trading days to regain stability above this key moving average.

The derivatives market data provides more insights. The funding rate for SOL perpetual contracts has recently turned negative, indicating that leveraged traders are inclined to short, while the futures open interest has decreased by about 15%, showing that market participants are reducing risk exposure. This cautious attitude in the derivatives market forms an interesting contrast with the positive inflows into Spot ETF, which may reflect the strategic differences of investors across different time frames—short-term traders focus on technical adjustments, while long-term institutions are looking at fundamental positioning.

From a valuation perspective, the current price level of SOL may provide an attractive risk-return ratio. According to Token Terminal data, the PS ratio of SOL has fallen from 35 times in October to the current 22 times, lower than Ethereum's 28 times, while the network revenue growth rate remains at a month-on-month level of 15%. This mismatch between valuation and growth may be the core logic behind institutional investors buying more as prices fall.

Ecological Development Support: Strong Performance of Solana's Fundamentals

The Solana ETF's ability to attract funds against the trend is closely linked to the strong performance of its ecosystem. In November, the Solana network demonstrated impressive growth across multiple key metrics. According to DappRadar statistics, the number of monthly active users for the top ten decentralized applications on Solana surpassed 1.8 million, representing a 12% increase from October, while the user count for similar applications on Ethereum decreased by 5% during the same period. This trend in user growth indicates that Solana is successfully attracting and retaining genuine ecosystem participants.

Developer activity is another important metric. According to a report by Electric Capital, the number of full-stack developers on Solana is expected to grow by 40% year-on-year by the third quarter of 2025, reaching 1,250, with growth rates ranking among the top of all smart contract platforms. Especially in the DeFi and infrastructure sectors, Solana's developer community has shown strong innovative vitality, launching significant upgrades such as the Firedancer client, state compression technology, and zero-knowledge proof integration.

In terms of institutional adoption, Solana continues to make substantial progress. In addition to the tokenization project xStocks mentioned earlier, Visa announced in early November that it would extend its stablecoin settlement capabilities to the Solana network, and BlackRock's official token BUIDL has also launched new yield-generating products on Solana. The involvement of these traditional financial giants not only enhances the legitimacy of Solana but also injects real economic value into its ecosystem.

From the perspective of network performance, Solana maintained a 99.8% uptime in November, with average transaction fees stable at $0.001, processing over 800 million on-chain transactions. These technical indicators are crucial for institutional investors as they directly affect user experience and operational costs. Especially during periods of high volatility, the stability and predictability of the network become key considerations for institutions when choosing the underlying blockchain.

Competitive Landscape Analysis: Solana's Unique Positioning in the Layer 1 Arena

The success of the Solana ETF cannot be viewed in isolation, but should be placed in the broader context of Layer 1 blockchain competition. Currently, Solana has differentiated advantages over its competitors on multiple dimensions. In terms of transaction processing capability, Solana's measured TPS remains between 3000-5000, far exceeding Ethereum's 15-30 TPS, and significantly surpassing Avalanche's 500-1000 TPS and Sui's 800-1200 TPS. This performance advantage is particularly critical when handling high-frequency trading and large-scale applications.

From the perspective of developer experience, Solana's single global state architecture combined with the Rust programming language provides unique advantages for building complex applications. Compared to Ethereum's sharding design and multiple Layer 2 scaling solutions, Solana's single chain model simplifies the development process and reduces the complexity of cross-chain interoperability. Although this design philosophy sacrifices a certain degree of decentralization, this trade-off is clearly acceptable for applications that prioritize performance and user experience.

In terms of market positioning, Solana has successfully occupied the niche market of high-speed trading and consumer applications. From Serum and Raydium in the DeFi space, to Magic Eden and Tensor in the NFT sector, and further to Star Atlas and Dialect in the gaming and social domains, the Solana ecosystem showcases distinct characteristics of “high frequency, low value” trading. This positioning aligns perfectly with the business models of market makers, high-frequency trading firms, and retail brokers in traditional financial markets, providing a natural target customer base for its ETF products.

From a valuation comparison, Solana's current fully diluted market cap of approximately $60 billion is about 18% of Ethereum's market cap. However, considering its faster growth rate and higher network utilization, this gap may gradually narrow. If Solana can maintain its current ecological development momentum, its market cap share is expected to increase to 25-30% of Ethereum by 2026, corresponding to an SOL price range of $180-220, providing current investors with substantial upside potential.

As the Solana ETF continues to attract capital during the bear market, we are witnessing not just the success of another financial product, but also a microcosm of the structural changes in the entire digital asset industry. Institutional investors are shifting from simple asset class allocations to more refined bets on blockchain infrastructure—they are not just purchasing tokens but investing in the future of an ecosystem. The divergence of capital flows between Solana, Bitcoin, and Ethereum may signify the true beginning of the multi-chain era: no longer is there an absolute king, only digital economies with distinct characteristics that meet different needs. For astute market participants, the real opportunity lies not in following past trends, but in identifying those new paradigms that are taking shape and bravely placing bets while others hesitate.