Solana’s Price Lags Despite Institutional Surge 📉💸

by

Behold, the year 2026! The total net assets of US Solana ETFs soared beyond a billion dollars, yet the price of SOL plummeted like a weary bird. A tale of triumph and despair, where hope meets the cold embrace of market indifference. 🤯

Beyond the ETFs, the Solana network achieved feats worthy of a grand opera-yet retail investors, ever fickle, remain unimpressed. A paradox of progress, where institutions dance while the masses yawn. 🎭

Stablecoin Demand Grows on Solana in Early 2026

The Wyoming Stable Token Commission, ever the visionary, launched the FRNT stablecoin on Solana. A first for a US public authority, managed by Franklin Templeton. How quaint! 🏛️

Jupiter, that titan of blockchain, unveiled JupUSD with Ethena Labs. Ninety percent of its reserves? BlackRock’s BUIDL fund. The remaining ten percent? USDC. A marriage of convenience, or so it seems. 💸

The Kobeissi Letter declared a $900 million surge in Solana’s stablecoin supply. A harbinger of crypto’s return? Or merely a fleeting spark in the dark? 🔥

BREAKING: Solana stablecoin supply surges by over +$900 million in 24 hours.

This comes as Jupiter, the world’s largest onchain platform, launched its onchain-focused stablecoin and Morgan Stanley filed for a spot Solana ETF.

Crypto flows are rising again.

– The Kobeissi Letter (@KobeissiLetter) January 7, 2026

Yet, this $15 billion figure pales beside Ethereum’s $181 billion. A drop in the ocean, if you will. 🌊

“New liquidity entering the network. Solana’s low fees and fast finality allow that liquidity to be deployed quickly. In practical terms, more stablecoins on SOL means more capital available for trading, settlement, and application activity,” analyst Milk Road commented.

Even so, the $15 billion figure remains small compared with Ethereum’s stablecoin supply of over $181 billion and Tron’s more than $81 billion, according to Token Terminal.

RWA on Solana Rises, But Still Lags Behind Competitors

RWA.xyz whispers of $931 million in real-world assets on Solana. A modest triumph, yet the giants of Ethereum and BNB Chain loom large. 🏔️

BlackRock and VanEck’s tokenized assets, plus Tesla and NVIDIA shares, fuel this trend. A symphony of innovation, but not without rivals. 🎻

Yet Solana, for all its merits, remains the underdog. A David to Ethereum’s Goliath. 🦌

Solana benefits from rising institutional interest in RWAs and stablecoin deployments. Still, the gap with rivals feels as vast as the chasms of the Urals. 🌌

Lack of Retail Participation Has Capped Price Performance

While institutions revel in growth, retail investors linger in the shadows. A tale of two markets, where the latter’s absence is keenly felt. 🕵️‍♂️

CryptoQuant’s data reveals that SOL’s rallies in 2021 and 2024 coincided with retail fervor. Now, a void persists. 🌫️

Exchange data shows a prolonged absence of retail participation above $100. A mystery, indeed. 🧩

If retail returns, Solana might finally break free. A hopeful note in a narrative of patience. 🌱

Read More

2026-01-08 19:18