With a number of good things working together, trading in Solana (SOL) is seeing a major increase. Large buy orders, strategic purchases by major investors, and the expected release of SOL-based exchange-traded funds (ETFs) all played a role in this rise.
Trading data shows that a lot more trades are happening on major exchanges like OKX, Binance, Coinbase, and Gate.io. But Coinact.gg, a real-time trading research tool, looks more closely and finds an interesting pattern: a “Major TWAP” signal for SOL.
Time-Weighted Average Price (TWAP) is a strategy that institutional investors often use to spread out major buy orders over a certain amount of time. This keeps the market from being too affected by the orders.
Solana’s institutional investor strategy
The fact that this doesn’t cause major price changes says that institutional investors are buying SOL on purpose, which is a sign of a positive long-term outlook.
Investors are also excited about the news that possible SOL-focused ETFs will start trading by the middle of March 2025. The Chicago Board Options Exchange (CBOE)’s recent plans to offer ETFs from VanEck and 21Shares have made people in the bitcoin community very excited and speculative.
Due to cautious hope, analysts think that SOL’s price will continue to rise. Some think it will rise by 17% by August 10th. There is also a good trend shown by technical indicators.
The Fear & Greed Index is currently at “Fear” (29), which means that investors are usually optimistic about SOL’s future, but there are still some major worries in the crypto market as a whole.
There are differences in Binance’s trade data compared to other exchanges that need to be looked into more to figure out what makes the Binance market work the way it does.
A new group of investors, especially those who were hesitant to use cryptocurrency exchanges before, are drawn to ETFs because they offer easy access to regulated SOL investment choices. The steady 8% price rise for SOL over the past week shows that demand is rising, which could push the network back to the $142 range.
Overall, a lot of good things are happening that point to Solana having a bright future. A good future for Solana is supported by interest from institutional investors, the possibility of regulated ETFs, and recent price increases.
