Solana (SOL) has recovered 30% of its price because the Black Monday crash, hovering between the $155-$140 range. Recent reports revealed the Solana-based investment products were amongst the most important losers last week after registering over $30 million in outflows.
The token continued its sideways trajectory despite the negative net flows and memecoin’s trading activity decline over the week. In consequence, SOL’s recent performance was praised by some crypto analysts who deem the cryptocurrency a protected bet.
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Solana ETPs See Record Outflows
CoinShares’ recent report revealed that last week’s Exchange-Traded Products (ETPs) net flows registered a positive but “low” $30 million. The information showed that crypto-based investment products saw minor inflows prior to now 7 days, with mixed flows among the many providers.
Per the report, the established ETP issuers continued to lose market share to providers of the newer investment products. The crypto funds’ weekly trading volume also fell to $7.6 billion, dropping nearly 50% from the $19 billion registered the week prior.
Throughout the week, Bitcoin (BTC) saw the most important inflows among the many crypto assets, with a $42 million positive net flow. Short-Bitcoin ETFs registered $1 million in outflows on its second consecutive negative week.
Ethereum-based products only registered 10% of the flagship cryptocurrency’s inflows, recording $4.2 million since August 12. The positive $104 million net flows from latest providers were overshadowed by Grayscale Ethereum Trust (ETHE)’s $118 million in outflows.
Nonetheless, Solana investment products had the most important outflow by cryptocurrency after Solana ETPs saw $39 million in negative week flows. 21Shares Solana ETP’s -$37 million ranked third as the most important outflow by investment product last week, only behind ETHE and GBTC.
Flows by crypto asset within the last week. Source: CoinShares
SOL Proceed Sideways Trajectory
CoinShare’s report highlighted that Solana ETPs’ negative performance occurred alongside the “sharp decline in trading volume of memecoins, on which it heavily relies.”
Data from CoinGecko revealed that Solana-based memecoins saw a 3.7% decline within the last 24 hours, registering a $3.59 billion market cap. Its market activity also displayed the same 3% decline since Sunday, falling to a each day trading volume of $1.1 billion.
Despite this, the Solana ecosystem has moved sideways over the weekend, hovering between the $243 billion to $245 billion market cap since August 15. SOL’s price also moved between $140 and $155 over the weekend, a spread it has maintained since August 12.
Crypto analyst Altcoin Sherpa suggested that the token will see “more chop and consolidation” in the approaching weeks. Nonetheless, he asserted that the $125-$150 price range is a “great spot to build up SOL.” The analyst also considers the token “continues to be 1 you possibly can comfortably hold for some time.”
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Similarly, Crypto Jelle noted SOL’s recent performance, stating that it’s “still in the identical sideways range, while the remaining of the market made lower lows.” To the analyst, SOL will take off hard “as soon as Bitcoin finds a bid,” and a latest all-time high (ATH) is “very much on the menu.”
As of this writing, SOL is trading at $144, a 1.4% drop within the last 24 hours.
Solana’s performance within the biweekly chart. Source: SOLUSDT on TradingView
Featured Image from Unsplash.com, Chart from TradingView.com