Solana (SOL) Kept Investors’ Interest Last Week, Fund Flows Resume

According to the latest CoinShares weekly report, the volume of inflows from Solana-focused investment products (SOL) amounted to $340,000 in the past week. In total, inflows into such funds have grown by $5 million since the start of the year, more than any other altcoin except Ethereum (ETH).

The Solana token remains one of the assets firmly holding the attention of this type of investor. Thus, despite problems following the collapse of FTX, the Silicon Valley-born blockchain was the subject of bets from traditional investors even before the latest market rally. For comparison, the volume of investments in exchange-traded products, focused on Solana, suffered the least damage in 2022, dropping by less than 50%.

Poor sentiment

Most interestingly, Solana managed to maintain a positive fund flow balance, despite the fact that the week was characterized by significant outflows from other crypto-oriented investment products. As CoinShares analyst James Butterfill argues, investors are concerned about regulatory uncertainty surrounding cryptocurrencies and, therefore, sentiment is poor.

With the Bitcoin price falling by 4.77%, the net weekly outflow from such ETPs was $17 million. Most of the outflows came directly from BTC itself, $20.1 million. At the same time, $1.8 million flowed into the Short Bitcoin ETP last week, bringing the year-to-date figure to $50 million. Also eloquent is the $400,000 outflow from BNB-oriented investment products, amid problems and FUD surrounding Binance.