Solana (SOL) has dominated the market recently in terms of price and adoption. The better part of a month has seen Solana claim multiple positions in the top 10 cryptos by market cap. The altcoin has done tremendously well in terms of price. Shaking off every crash with ease. Then going on to set multiple all-time highs in the space of a week. Its market cap has grown so much that it has beaten out top coins like Dogecoin and Ripple (XRP) to claim the 6th spot.
Its growing popularity has come with increased interest in the project. A direct competitor to Ethereum, the network has recorded tremendous success with users searching for an alternative to the top smart contracts platform. Both institutional and individual investment has increasingly focused on the digital asset. Solana has taken a bigger share of the investments coming in every week. And this week, the digital asset officially recorded the highest chunk, with the majority of investments coming into the crypto space focused on Solana.
Majority Of Investments Flowing Into Solana
A weekly report from CoinShares outlines the investments flowing into crypto on a weekly basis. The previous week saw inflows of $57 million in the crypto market. Down almost 50% from the previous week’s $98 million. Solana made up 13% of the previous week’s inflows. But this week has seen the digital asset taking the most market share from the crypto market.
Solana trading north of $150 | Source: SOLUSD on TradingView.com
Of the $57 million in inflows that came into the market, Solana (SOL) inflows accounted for $50 million. Giving it an 87% share of all of the inflows seen in the market. Solana has outperformed all other digital assets in the top 10 by 34%. Resisting the price crash that most of the market suffered in the last week.
With current price ranges and inflows increasing week on week, Solana now boasts the 5th largest position of assets under management. Currently totaling $97 million in assets under management for Solana.
Bitcoin And Ethereum Suffer Weekly Lows
While Solana has surged, other top coins have seen lows the past week. Inflows into top coins like Bitcoin slowed to a crawl. With Ethereum recording more outflows than inflows in the past week. Bitcoin recorded a measly $0.2 million of inflows and Ethereum actually saw outflows adding up to $6.3 million in the past week.
The report also showed that investors are still diversifying their investments. Inflow patterns show that investors are also putting money into altcoins. Cardano recorded a weekly inflow of $3.5 million, Ripple was at $3.2 million, and Polkadot investments totaled $1.7 million. Multi-asset diversifications saw $3.5 million worth of inflows in the past week.
Crypto Traders Most Bullish on Polkadot, Solana, Polygon and 10 Additional Altcoins: Digital Asset Survey
A new survey unveils that crypto traders are most bullish on 13 altcoins including Polkadot, Solana and Polygon.
The Real Vision Exchange Crypto Survey is designed to track sentiment among investors by allowing participants to scan 30 tokens and choose if they want to have an overweight or underweight allocation for each one. The survey was conducted by Real Vision Bot, which was created by two independent developers and boosted by macro guru Raoul Pal.
Results from voting that happened on the first two days of this week indicate traders prefer an overweight portfolio consisting of smart contract platforms Polkadot (DOT) and Solana (SOL), as well as Ethereum-scaling solution Polygon (MATIC).
The scalable and interoperable ecosystem Cosmos (ATOM) is fourth on the list, and smart contract platforms Terra (LUNA) and Cardano (ADA) appear tied for fifth. Traders also have overweight allocations for decentralized oracle network Chainlink (LINK), Ethereum competitor Avalanche (AVAX), Ethereum-based token Enjin Coin (ENJ) and decentralized exchange Uniswap (UNI) for the sixth, seventh and eighth places, respectively.
Tied in ninth place are cross-border payment solutions Stellar (XLM) and XRP, as well as decentralized storage network (FIL).
Real Vision Bot clarifies that the participants are not necessarily holding the cryptocurrencies that they voted for.
“They can of course vote according to their own positions, but also just based on their sentiment or forward looking. There are many reasons why the own book might not be 1:1 the preferred allocation.”
Bitcoin (BTC) is conspicuously absent from the list. Pal highlights that the community is responsible for that absence.
“It’s not us – it’s the community who makes the allocation… You guys, to be exact.
Solana [SOL] Ups the Ante as 7th Ranked Crypto Becomes Biggest Gainer
As the week drew closer the cryptocurrency market entered a flux consisting of bearish and bullish trends. Altcoins tried to match Bitcoin’s spike rate as new superstars like Solana and Polkadot rule the roost. Solana [SOL], currently holding the 7th rank, was the biggest gainer of the day after fervent activity on the charts.
The SOL community has been waiting with bated breath for a steady price hold with the latest bull run acting as just that. At press time, Solana was trading for $159 with a total market cap of $46.78 billion. Solana’s 7 percent price hike over the previous 24-hours was followed by Ethereum, which rose by 3 percent on Friday. Daily volume had touched $3.4 billion after a rousing response from the community.
Solana 1 hour chart:
Three strong green candles changed Solana’s hourly dynamic as the cryptocurrency tore away from its immediate support. SOL user sentiment may have begun to swing after witnessing the strong upward push. Immediate support was clocked at $143, a steady marker for the cryptocurrency.
Parabolic SAR: The markers stayed below the price candles as user momentum shifted into the green.
Bollinger bands: Both the bands diverged from each other after registering six consecutive green candles. The size of the Bollinger cloud was a definitive sign of Solana’s entry into the bull territory.
Chaikin Money Flow: The graph bounced back from the zero line, mostly enabled by the price hike. This further meant that more capital was entering the SOL ecosystem.
Solana 1 day chart:
Long-term resistance was clocked in at $126 after a tumultuous September. The previous week was a strong sign for price recovery as the market cap shot up in the daily spectrum.
Bollinger bands: The band’s moved parallel to each other as the candles constricted themselves within the bandwidth. After a month of slight movement, the last green candle climbed to new levels.
Chaikin Money Flow: SOL formed a k-shaped curve as the capital influx overtook the money leaving the market. The cryptocurrency showed similar patterns displayed at the start of August.
Parabolic SAR: Unlike the short-term yield, the markers here stayed above the candles. This was a sign that the market momentum was shifting after a period of dwindling seed funds.
Better call SOL: Month-long consolidation puts Solana price en route to $275
Solana (SOL) price technicals suggest SOL can hit $275 in the coming sessions.
The upside outlook for the world’s sixth-largest cryptocurrency by market capitalization comes as it consolidates inside a range that appears like a Bull Pennant.
In detail, Bull Pennants are bullish continuation indicators that form as the price consolidates inside a Symmetrical Triangle-like structure following a strong move upside.
The consolidation trend accompanies declining volumes, reflecting on the trend’s underlying weakness.
And, as the price approached the apex—the point where the Pennant’s trendlines converge, it tends to undergo a breakout to the upside, with the bull target at length equal to the height of the previous uptrend, i.e., Flagpole.
Solana’s flagpole height is roughly $125. That said, a breakout move at the Pennant’s apex (at around $150) puts SOL en route to $275.
SOL/BTC pair also gains despite Bitcoin at $60K
Solana’s prospects of hitting $275 come amid an overall price boom across the crypto market.
However, SOL price also rallied by 8% against Bitcoin (BTC) in the past two days in part due to its listing o South Korea’s top crypto exchange Upbit.
Overall, SOL has been one of the best performing altcoins in 2021, with its year-to-date profits at 8,500%. SOL traded at a record high of $216 in early September.
Institutional inflows boost SOL price
Despite Bitcoin currently in the limelight, Solana’s price likely also received a boost from institutional capital via dedicated investment funds, according to a report from CoinShares published earlier this week.
“Digital asset investment products saw inflows 500 totaling US$226 million, bringing the 8 week run of inflows to US$638 million,” CoinShares noted, adding:
“It was a mixed picture in other altcoins with recent favorites Solana (US$12.5 million) and Cardano (US$3 million) continuing to see inflows, suggesting the focus hasn’t entirely switched to Bitcoin.