Fund inflows drive SOL up 🧧 Analysis
Recently, the performance of Solana (SOL) has been very strong, and the core driving force behind it is indeed a large influx of funds. This influx is not caused by a single reason but is driven by a series of positive factors. Below we will conduct a detailed analysis from multiple dimensions.
I. Core driving force: Why is capital flowing into SOL?
The influx of funds is merely a surface phenomenon; the key lies in understanding why funds choose to flow into SOL. Here are the most critical factors:
1. Overall cryptocurrency market sentiment turns positive (Beneficiaries of Beta markets)
· Approval of Bitcoin ETF and fund inflows: The approval of the US spot Bitcoin ETF earlier this year opened a huge financial gateway from traditional finance to the entire cryptocurrency market. Large institutional funds entered Bitcoin through the ETF, driving up the entire market (bull market). SOL, being one of the top five mainstream cryptocurrencies by market capitalization, naturally became one of the core assets for fund allocation, enjoying the overall 'Beta returns' of the market.