**Key Takeaways**
– Will Grayscale SOL ETF’s debut trigger outflows? It remains unclear, but market sentiment is neutral to bullish in the mid-term.
– What are analysts’ projections for SOL ETFs? Bloomberg analysts expect over USD 3 billion in inflows within 12 months.
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Grayscale is set to launch its U.S.-based Spot Solana (SOL) ETF (exchange-traded fund) on October 29th, a day after Bitwise made a similar move. The New York Stock Exchange (NYSE) approved and certified Grayscale’s product (GSOL), officially allowing it to begin trading.
The digital asset manager confirmed the launch and added that GSOL would include staking rewards. It’s important to note that GSOL will be converted into an ETF but has effectively been operating as the Grayscale Solana Trust for four years.
As of now, the Trust holds 525,387 SOL tokens, with assets under management (AUM) valued at approximately $102.6 million. About 75% of these tokens are staked.
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### What’s Next for SOL Price?
Bitwise’s SOL ETF (BSOL) generated an impressive $56 million in day-one trading volume and $69.5 million in daily net inflows. Bloomberg ETF Analyst Eric Balchunas described Bitwise’s debut performance as an outlier this year.
Reacting to Grayscale’s launch, Balchunas commented, “This is tough. That one day is pretty big. But I guess being 2nd isn’t too bad. The other issuers are probably pretty upset.”
Another Bloomberg ETF Analyst, James Seyffart, projected that SOL ETFs could attract $3 billion in cumulative inflows within a year. Seyffart explained:
“Solana’s market cap is 5% of Bitcoin’s and 22% of Ethereum’s. If they maintain ETF inflows similar to those of ETH and BTC on a relative basis, that would equate to over $3 billion in flows over the first 12 to 18 months.”
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### Market Reaction and Trader Sentiment
Despite the robust debut and the influx of SOL ETFs, the price of SOL slipped from $200 to around $190. Historically, crypto ETF debuts have often triggered “sell-the-news” reactions, with most outflows coming from Grayscale’s products.
Thus, Grayscale’s launch will be closely monitored, particularly regarding its short-term impact on SOL’s price.
However, options market data suggests a neutral-to-bullish sentiment in the mid-term. The 25-Delta Risk Reversal (25RR) indicator showed readings between 0.86 (neutral) and 3-6 (bullish) for upcoming option expiries.
This means traders are currently paying more for upside protection in November. In other words, despite muted price action, some speculators are betting on a potential strong recovery for SOL starting in November.
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Stay tuned for further updates as the market reacts to the launch of these Solana ETFs.
https://ambcrypto.com/grayscale-solana-etf-debut-confirmed-will-sols-price-pick-up
