Solana rose after crashing below its 6-month low as Bitwise’s new Solana staking ETF, BSOL, attracted massive inflows into its funds. If not for the inflow of funds into Solana through the BSOL ETF, the coin could have fallen to its 8-month low of $103, with a possible risk of crashing to double digits.
Priced at $135, Solana is on the rise after reaching its weekly low of $122. When markets opened for trading this week, Solana was selling at $127; however, as the week progressed, the coin lost its ground and reached its lowest price of $122 by mid-week. Thereafter, the coin established a strong uptrend, which catapulted the prices submerged under the opening weekly price of $127 to $135.
Bitwise ETF comes to Solana’s rescue
Bitwise’s BSOL ETF played a big role in helping SOL’s price rise above the weekly opening price. According to SoSoValue, a crypto data analytics platform, the BSOL ETF attracted nearly $70 million in inflows on its first day, and an additional $130 million over the next two sessions after debuting on the New York Stock Exchange. The cumulative net inflow of funds reached $625 million, while the daily inflow increased by almost 6%.
There were many benefits that Solana received as byproducts from the BSOL ETF’s inflows. At a glance, the inflows into the ETF helped Solana end its downtrend, which was in play since September, and helped it begin with a new trend.
SOL narrowly escapes from crashing to two digits
Had BSOL’s ETF not attracted so much funding, Solana, which was already just below its 6-month low of $126, would have crashed even further to $103, or maybe even two digits. However, this not the case. Now that Solana is just getting started with an uptrend, it needs to establish it with volume.
Given that Solana capitalizes on this new uptrend, the coin will test the $145 resistance level initially. On the technical side, there is no sign of any extreme condition, as the Relative Strength Index (RSI) is at 59. Once the coin crosses the $145 resistance level, the next target would be $180.
