Solana ETFs Record First Net Outflows as SOL Price Recovers to $140

TLDR

• Solana ETFs recorded $8.2 million in net outflows, ending a 21-day streak of inflows.
• 21Shares TSOL alone saw $34 million in withdrawals, turning aggregate flows negative.
• SOL price reclaimed $140 on Nov. 27, trading below its 20-day average of $152.
• Other issuers like Bitwise and Grayscale continued to post net inflows during the pullback.

Solana-based exchange-traded funds (ETFs) posted their first day of net outflows since launch, marking a shift in sentiment after a 21-day streak of consistent inflows. On Thursday, the group of spot Solana ETFs registered a combined $8.2 million in net outflows, coinciding with a partial price recovery in Solana (SOL), which climbed back above the $140 level.

The withdrawals were mainly driven by the 21Shares Solana ETF (TSOL), which recorded $34 million in redemptions. Despite continued inflows into other ETF products, the pullback from 21Shares was large enough to result in a net-negative flow across all Solana-based funds for the session.

TSOL Outflows Lead Market Turnaround

TSOL was the only Solana ETF to post outflows on the day, but its $34 million pullback outweighed the combined inflows from its peers. Data from Farside Investors shows that TSOL’s cumulative net flow since launch now stands at -$26 million, despite holding $86 million in assets under management.

In contrast, the Bitwise Solana Staking ETF added $13.3 million in new investments, bringing its total inflows to $527.8 million. Grayscale’s GSOL reported $10.4 million in new capital, while Fidelity’s FSOL brought in $2.5 million. VanEck recorded neutral flows for the session.

This marks the first net outflow day since Solana ETFs received approval from the U.S. Securities and Exchange Commission (SEC) on October 28.

Price Movement and ETF Holder Positioning

Solana’s price reclaimed $140 for the first time since mid-November, reflecting a modest rebound in market activity. However, the price remains below several key moving averages. The 20-day simple moving average (SMA) is at $152, while the 50-day SMA stands near $168.

Most ETF investors remain underwater, as the average cost basis of ETF-acquired SOL is approximately $151. With SOL trading below this level, broad-scale selling remains unlikely, although some short-term profit-taking cannot be ruled out.

According to TradingView, the 30-day average price of SOL is near $151, further supporting the current resistance level faced by buyers in the market.

Market Outlook and Institutional Demand

Institutional investors have continued to support Solana ETFs, with total assets across all Solana-linked funds reaching an estimated 6.83 million SOL. That equates to roughly $964 million in total value.

Despite the outflows from 21Shares, ongoing inflows into ETFs like those from Bitwise, Grayscale, and Fidelity indicate sustained interest. Analysts note that some treasury-linked institutions are showing early signs of increasing exposure to SOL.

Technical charts show that momentum indicators such as the relative strength index (RSI) are recovering but still below neutral levels. Analysts suggest a strong breakout above the $152 level could trigger a rally toward $168. However, failure to break the 20-day average may result in further downside, with support seen near $135.

ETF Structure and Staking Incentives

Unlike many other crypto ETFs, several Solana funds offer staking options, which can provide yield to investors even during price declines. This structure may encourage long-term holding, reducing the chance of mass redemptions during volatile periods.

While Thursday’s outflows marked a shift in the recent trend, the broader market continues to show demand for Solana-based products. ETF flows and price movement remain closely linked, and both retail and institutional traders are watching for the next clear signal.

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