Solana rallied sharply on Wednesday, climbing more than 4% in a single session to reach $224.95 — a price level last seen on February 1. The move marked a seven-month high for the blockchain platform’s native token, reflecting renewed interest from institutional and retail participants who have been accumulating SOL ahead of potential spot exchange-traded fund (ETF) approvals. According to market data, Solana’s 30-day performance outpaced all other top-10 cryptocurrencies by market capitalization, with a 25% gain over the period.
Matt Hougan, chief investment officer at Bitwise Asset Management, highlighted Solana’s favorable conditions in his weekly investor memo. He noted that the combination of exchange-traded product inflows, corporate treasury purchases, and private investment pipelines has historically driven outsized returns in select tokens. “Take one part ETP inflows, add strong corporate treasury purchases, and voilà — you get big returns,” wrote Hougan, adding that Solana appears primed to follow that blueprint into the year-end.
Corporate treasuries have played a key role in SOL’s appreciation. Publicly traded firms including Upexi and DeFi Development Corp. have disclosed purchasing more than $400 million worth of SOL since January. This week, Forward Industries announced a $1.65 billion private investment in public equity (PIPE) raise, with plans to allocate over 25% of proceeds into a dedicated Solana treasury. If executed, this would create one of the largest publicly traded SOL treasuries in the market.
Beyond treasuries, regulatory catalysts loom. Multiple issuers, among them Bitwise, Canary Funds, and 21Shares, have filed for Solana spot ETFs with the U.S. Securities and Exchange Commission. While approval timelines remain uncertain, consensus among analysts now views Solana, XRP, and Dogecoin as near-lock candidates for U.S. spot ETF clearance in 2025. “Scaled for the size of the blockchain, a relatively small amount of flows into Solana could significantly impact prices,” Hougan added.
On-chain data further underscores growing demand. Transaction volumes and active addresses on the Solana network have rebounded to multi-month highs, and on-chain analytics platforms report a surge in new wallet creations. Open interest in Solana perpetual futures has increased by 12% over the past week, signaling that leveraged traders are positioning for further upside. Yet volatility metrics suggest room for additional run-up before the token becomes overextended.
Looking ahead, market watchers will parse macroeconomic developments as well as SEC guidance for tokenized product approvals. With Solana still trading roughly 24% below its all-time high of $293.31 set in January, the near-term path hinges on execution of treasury allocations and the pace of ETP inflows. Should both drivers align, SOL could set the stage for what Hougan terms an “epic end-of-year run.”
Comments (0)