Spot Solana exchange-traded funds (ETFs) proceed to draw investor interest, recording a fourth straight day of inflows amid the “capital rotation” of Bitcoin and Ether funds.
According to data from SoSoValue, Solana (SOL) spot ETFs recorded a rise of $44.48 million on Friday, bringing cumulative inflows to $199.2 million and total assets to over $502 million. The Bitwise Solana ETF (BSOL) led the way in which, contributing the vast majority of recent capital with a each day gain of 4.99%.
In contrast, spot Bitcoin (BTC) ETFs recorded each day net outflows of $191.6 million on the identical day, continuing the week-long trend of profit-taking. The funds recorded outflows of $488.43 million on Thursday and $470.71 million the day before.
Spot Ether (ETH) ETFs also saw $98.2 million in outflows, reducing their cumulative inflows to $14.37 billion. The funds lost $184.3 million on Thursday and $81.4 million on Wednesday.
Solana ETFs are seeing inflows. Source: SoSoValue
Solana ETFs are gaining momentum
The shift to Solana ETFs comes amid what market participants are calling “capital rotation.” Vincent Liu, chief investment officer at Kronos Research, told Cointelegraph that the trend illustrates a growing appetite for brand spanking new narratives and stake-driven return opportunities.
“Solana ETFs are booming on recent catalysts and capital rotation as Bitcoin and Ether record profit-taking after strong gains,” Liu said. “The shift signals an increasing appetite for brand spanking new narratives and stake-driven return opportunities.”
Analysts expect Solana’s momentum could proceed into next week as Bitcoin and Ether consolidate. “Solana's momentum could proceed next week, with rotation remaining as majors pause unless macroeconomic news triggers extreme volatility,” Liu added.
New crypto ETFs are coming onto the market
A brand new wave of crypto ETFs is coming to market this week, led by Bitwise's Solana Staking ETF (BSOL), which launched on Tuesday with $222.8 million in assets and offers investors exposure to Solana (SOL) with an estimated 7% return on stake.
Several other funds are also coming to market, including Canary's Litecoin (LTC) and Hedera (HBAR) ETFs, in addition to Grayscale's expected conversion of Solana Trust into an ETF. Meanwhile, Hong Kong approved its first spot Solana ETF last week.
