Solana is once again in the lead, as most crypto asset investment products experienced net investment outflows last week, ending 11 consecutive weeks of inflows. However, this was not surprising as most cryptocurrencies went through a btc/bitcoin-price-dips-again-38k/” rel=”nofollow noopener” target=”_blank”>short consolidation period and profit taking last week.
According to the latest report of CoinShares, digital asset investment products saw outflows of less than $16 million last week, with the majority of outflows coming from bitcoin. However, despite the departures, Solana gained momentum and its net inflows increased 240% from the previous week.
Solana gains the trust of institutional investors
Digital asset investment products have been on a roll crypto/institutional-investors-346-million-crypto/” rel=”nofollow noopener” target=”_blank”>since the last week of Septemberand inflows increased as a result of anticipation of the US spot bitcoin ETF approval. The majority of these weekly inflows have gone into bitcoin, with altcoins like Solana and ethereum doing great from time to time .
However, last week told a different story, even though business activity averaged $3.6 billion during the week, more than the annual average. Data from CoinShares shows that bitcoin products fell from inflows of $19.8 million the previous week to outflows of $32.8 million. In the same vein, ethereum also witnessed outflows of $4.3 million.
According to the report, this was mainly due to institutional investors taking profits, rather than a shift towards bearish sentiment. In terms of geographic location, the United States recorded the largest capital outflow with $18.3 million, while Germany followed with $9.7 million.
Solana, on the other hand, remained strong as he has been since October to dominate the institutional space. The crypto asset received $10.6 million in institutional inflows, up 240% from $3.1 million the previous week. As a result, his earnings so far this year have exceeded $156 million.
Cardano and XRP products also saw minor positive moves, recording inflows of $3 million and $2.7 million respectively.
<img decoding="async" class="aligncenter size-medium" src="https://technicalterrence.com/wp-content/uploads/2023/12/Solana-Earns-the-Trust-of-Institutional-Investors-on-Bitcoin-and" alt="Tradingview.com Solana Price Chart (bitcoin ethereum)” width=”3266″ height=”1530″/>
SOL price at $74 | Source: SOLUSD On Tradingview.com
Cardano continues to shine
The institutional influx to Solana is a representation of the ethereum-in-trade-volume-with-1-billion-in-single-day/” rel=”nofollow noopener” target=”_blank”>Performance of crypto assets this year.. Solana has been on an incredible run, with its native SOL token rising over 520% since the beginning of the year. solarium recently crossed over $75 again and technical analysis shows that the cryptocurrency is now on track to revisit the $100 mark.
At the time of writing, Solana is trading at $75.91, its yearly high, and is up 24% in the last 30 days. DeFi TVL on the Solana blockchain also increased by 73% in the same time period. According to a crypto analyst, a Solana price target of $90 now it is in sight.
Featured image from crypto News Flash, chart from Tradingview.com
