Despite the 70% Token price drop, Solana ETFs are strong
Exchange-traded funds linked to Solana have already rallied, although the fund has more than halved in value since its launch, which analysts say shows institutional resilience.
Solana ( SOL ) is down 57% since the Solana ETF launched in the U.S. in July, but the funds have managed to accumulate $1.5 billion in inflows and “don't give anything away,” Bloomberg ETF analyst Eric Balchunas said on Thursday.
He added that 50% of ETFs come from institutional investors, which Balchunas calls a “serious investor base” and bodes well for the future.
Solana ETFs beat Bitcoin in market size
By adjusting Solana's $50 billion market capitalization to Bitcoin (BTC), $1.4 trillion, Solana ETFs saw $54 billion in net new inflows, “which is almost double what Bitcoin was at the same point,” Balchunas said.
Compared to Solana's fall in price, Bitcoin has gained in the months since the launch of the Bitcoin ETF, Balchunas said, “given some very impressive numbers.” [the] Size and condition of the underlying market”.
Balchunas said that ETFs that launch into such market downturns are often “impossible to find an income stream.”
“With a 57% drop in the first six months, most of them wouldn't even get a year or two,” he said. “Solana [is] Defying physics here.
Related: 3 Solana platforms shut down following devastating $40M hack
Solana ETFs saw their first day of net outflows in more than a month on Thursday, with $6 million out of the six products, according to CoinGlass. Wednesday followed a big net income day as $19 million went into the products.
Solana is down 70% from its all-time high
Solana pushed the token to $293 in January 2025 amid memecoin's high frenzy.
Today, it's down 70% from that peak, trading around $88, down 2.7% on the day and 11% over the past month, according to CoinGecko.
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