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Solana is the New Favorite Altcoin after Achieving Another Record

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By Brennan Forrest - - 5 Mins Read
Vector illustration of solana coins, falling, 3D
| Unsplash


Vector illustration of solana coins, falling, 3D



Based on various metrics, the Solana token is considered to be among the top altcoins to invest in currently. Several positive developments are occurring with the fundamentals of this token. Additionally, there doesn't appear to be any major competition for Solana in the market, as numerous investors have invested significant funds into this altcoin.


The crypto bear market has caused several setbacks for the industry, including the decline of institutional investor interest in altcoins. Even popular coins like Bitcoin are only being purchased by a select few. This lack of attention from institutional investors is having a negative impact on the value of altcoins. Solana, which was a highly-regarded altcoin during the previous bull market, has suffered greatly as a result of this waning interest and has reached new lows.


But there's good news. It looks like investors are now getting interested in this altcoin. 


The latest data shows that Solana's year-to-date (YTD) inflows have surged to $26 million since 2023 began. This is quite huge for an altcoin that was suddenly forgotten when the price crashed due to the bear market. Achieving this feat at about $26 million is something to celebrate within the Solana ecosystem.


All this data came from a report made by CoinShares. This report shares an overview of some of the inflow each cryptocurrency has seen since the year began. Furthermore, this report elaborated, saying the new inflows show that Solana is currently the most loved altcoin by investors.


"While Solana saw inflows for the 9th consecutive week totalling US$0.7m, the YTD inflows of US$26m suggest it is the most loved altcoin amongst investors at present," the report said. 


This is quite contrasting with what Bitcoin has to offer in this report. Bitcoin is almost 10 times less than the inflow of the Solana token. " Bitcoin saw inflows totalling US$3.8m, while short bitcoin saw outflows for its 19th consecutive week totalling US$3.3m, with total assets under management (AuM) having fallen 48% from this year's peak," the report added. 

Outflows in the Crypto Industry 

According to the latest report, there has been a decrease in the outflow of funds in the crypto industry, especially with regard to the Solana token. In the week ending on September 1st, the weekly outflows in the crypto industry amounted to $11.2 million. However, there has been a significant increase in negative sentiments towards the crypto sector over the past seven weeks, resulting in a total outflow of $342 million.


On the other hand, the Solana token is quite relaxed with the market outflows. Compared to many other tokens, the Solana didn't suffer as many losses as them. For instance, Ethereum suffered a loss of around $3.2 million. But it was worse on the side of Polygon MATIC as it suffered an outflow of about $8.6 million. 


"Altcoins saw outflows, most notable being Polygon and Ethereum, which saw US$8.6m and US$3.2m respectively," the report added.