The uninterrupted streak of capital inflows into investment products linked to the Solana ETF came to an abrupt end this Wednesday. According to data provided by analytics platform SoSoValue, these financial vehicles recorded net outflows worth 8.1 million dollars, marking the first negative session since their official launch and halting a 21-day consecutive accumulation sequence.
The drastic trend shift was primarily driven by 21Shares’ TSOL fund, which suffered a massive withdrawal of over 34 million dollars in a single trading day. However, the bleeding was partially contained by other products such as Bitwise’s fund (BSOL), which managed to capture 13.33 million dollars, and the Grayscale trust. Despite the daily setback, the monthly cumulative for November remains positive, surpassing 414 million dollars in total net inflows generated.
This financial movement coincides with a visible rotation of capital towards new XRP products, which continue without recording outflow sessions, and a notable weakness in fundamental network activity. Data from intelligence firm Nansen reveals a 16% drop in network fees and a 32% decline in Total Value Locked (TVL) from its September peak, suggesting lower real utilization of the current underlying blockchain infrastructure.
The divergence between long-term institutional accumulation and spot price performance reflects latent tension in the crypto market. While institutional investors collectively hold nearly 1 billion dollars in assets under management, the SOL price struggles to maintain key technical supports. Technically, if the asset loses the critical 140 dollar zone, a bearish continuation towards lower price levels could be confirmed.
Will institutional demand be able to sustain the price amidst network weakness?
On the other hand, the drop in activity of major protocols like Jito and Raydium adds pressure on the ecosystem’s fundamental valuation. Market strategists point out that, although institutional demand remains elevated, cautious sentiment and retail selling are weighing on the quote. Thus, the asset’s stability will depend on its ability to attract fresh liquidity.
The market remains at a complex crossroads where general volatility and the consistency of fund flows will determine the short-term direction. Analysts expect sensitivity to macroeconomic data to remain high in the coming weeks. To convincingly resume the bullish path, it will be crucial that on-chain activity recovers and accompanies financial interest.
