Solana took the crypto ecosystem by surprise with weekly inflows of more than $127 million in a 7 day shift led by Bitcoin and Ethereum.
Based on CoinShares’ digital asset fund flows weekly report (Volume 252), crypto investments attracted a strong capital injection. Bitcoin BTC $89 797 24h volatility: 1.4% Market cap: $1.79 T Vol. 24h: $30.20 B and Ethereum ETH $3 042 24h volatility: 1.7% Market cap: $366.99 B Vol. 24h: $16.93 B were the lead cryptocurrencies of this positive trend.
However, Solana SOL $126.7 24h volatility: 0.8% Market cap: $71.24 B Vol. 24h: $3.31 B stunned its counterparts with a significant inflow of more than $127 million.
Is Solana $500 Price Action Possible?
For the week that ended on September 19, digital asset investment products saw a second consecutive week of inflows. Specifically, they recorded a total of $1.9 billion in inflows, coinciding with the United States Federal Reserve announcement of a rate cut.
Solana weekly inflows came in at $127.3 million, while those of BTC and ETH were $977 million and $772 million, respectively.
In terms of price, SOL is gradually pushing towards the $250 resistance level. SOL is currently trading at $221.79, with a 7.16% decline over the last 24 hours.
Although the price of Solana has grown by about 9.64% within the last 30 days. Its 24-hour trading volume also looks promising with a 160.88% spike, and now resting at $9.21 billion.
Surpassing this resistance could trigger strong bullish activity for SOL. If this trend plays out, it has the possibility to drive SOL to another 100% gain toward $500.
It is worth noting that whale activity and growing corporate treasuries, like that of Helius, may support this upward move.
US Fed Announces Interest Rate Cut
For several months, the market had been speculating about a potential US Fed interest rate cut, but this reduction came last week.
Immediately after the so-called “hawkish cut” was announced, investors were somewhat cautious. However, inflows resumed a few days after. Between 18 September and 19 September, the market has recorded inflows of $746 million.
At this point, it was clear that markets had begun to digest the implications for crypto assets. Even total Assets Under Management (AUM) pushed past its old levels to hit a new Year-to-date (YTD) high of $40.4 billion.
This puts it on track to match or slightly exceed the $48.6 billion in inflows recorded last year.
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