- SOL has seen a decline in its price despite the fact that funds have poured into it.
- Investors may have been attracted to SOL by the prospect of improved network health.
No digital asset fund? Solana [SOL] Investors’ interest in the fifth biggest cryptocurrency took an uptick last week.
Solana is noticing a new shift in public opinion
Latest reports report Crypto products based in Solana, managed by CoinShares crypto asset management company, attracted over $4 million of inflows in the last week.
The net inflows of $300,000 the previous week were a dramatic change.
Recent inflows came from blue-chip assets as well Bitcoin [BTC] You can also find out more about the following: Ethereum [ETH] The outflows were massive, with $423 millions and $38 Million respectively.
AMBCrypto, citing AMBCrypto, noted that the demand for SOL linked funds was surprisingly high despite the price of the cryptocurrency falling 16% in a week. CoinMarketCap data. SOL was over 10% lower on the charts at press time than it had been 24 hours earlier.
As a result of the decline in prices, total assets under administration (AUM) dropped from 1,15 billion dollars to just $1.14.
This was the cause?
It is hard to pin-point the catalyst that drives investors towards Solana products, but the reduction of network congestion may be the cause.
Solana has been constantly releasing new releases in order to address the issues of transaction failures on the blockchain and network congestion, which have greatly contributed to the negative perceptions surrounding the cryptocurrency.
It was sent out on the v1.18.12Validation of the product is currently taking place in a test environment.
Solana hoped these improvements could finally solve the problems with blockchain. The system has reached its limit due to an explosive growth in meme coin trading.
Click Here to Read Solana’s [SOL] Price Prediction 2024-25
Latest blow
The downtrend on SOL charts has continued, as Bitcoin fell below $60,000. SOL is down by 10% within 24 hours.
Hong Kong’s newly-listed crypto spot ETFs have not performed well, which has contributed to the latest market drop.
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Source: ambcrypto.com