Solana ($SOL) price falls as investor interest dissipates
Solana (SOL) price continues to decline as broader market signals turn bearish, as does investor interest.
Along with them, a major group that had influence on Solana is retreating.To get an advertising service for your crypto project or press releases
Solana SOLUSD and institutions... a complex duo
Solana's price SOLUSD is bearing the brunt of its investors' decline, which is evident in its open interest (OI) and inflows. First, investors are becoming increasingly skeptical.
The shift in sentiment reflects broader uncertainties and volatility within the market, prompting Solana holders to adopt a more cautious approach to their investments. Within a week, OI fell by more than $500 million from $2.5 billion to $2 billion.
Moreover, until the end of May, institutional investors showed a strong preference for Solana SOLUSD, indicating confidence in its potential. However, this trend has changed dramatically recently.
Currently, institutions are diversifying their investments by allocating funds to Ripple XRPUSD, Litecoin LTCUSD and Chainlink LINKUSD. This reallocation of investments highlights a strategic move to mitigate risks and leverage the potential of other cryptocurrencies.
For the week ending June 8, the three assets saw inflows of $0.7 million each. While this has not affected Solana's position as the asset with the highest annual flows to date, it is being challenged. On the other hand, Ripple XRPUSD saw inflows worth approximately $1.2 million