Solana gains 27% in a week, ETF inflows rise, key voting target points to SOL supply

Solana prices exceeded US$94, with a weekly gain of 27%

On Monday, Solana prices exceeded US$94, continuing their previous strong gains. In the past week, the token has risen 27%, its highest level in two months. This latest trend comes against the backdrop of unusually strong inflows of money from Solana-focused investment funds, and also highlights governance changes that could reshape the structure of the Internet economy.

Institutional capital inflows drive prices soaring

After continuing to rise in the near future, SOL broke through the US$94 mark, rising by about 1% in the past 24 hours. The asset outperformed the broader digital asset market, recovering strongly from support at the 50-day index moving average ($79.04) and further confirming strength above the 200-day index moving average ($92.67). These levels have now become key support levels for traders to focus on subsequent price movements.

Current resistance is near the May 11 high of US$98.41. If the daily closing price is confirmed to have exceeded the psychological threshold of US$100, it may open up room for the price to rise further to US$112.52. The technical momentum indicator shows that the four-hour relative strength index is close to 64, slightly below the overbought zone; meanwhile, the MACD indicator continues to show strong bullish control, but the rapid upward momentum may show signs of a pause in the short term.

Governance vote aims to curb SOL inflation

The Solana verification node is currently voting on three key proposals (SGP1, SGP2, SGP3), and the process will end at 15:30 UTC this Thursday. Voting rights are linked to the number of SOLs pledged by each verification node.

The core proposal SGP-0001 aims to formally adopt the Solana Constitution, provide a governance blueprint for the network, and establish a framework for continuous protocol upgrades through decentralized decision-making. SGP-0002 plans to double the network's annual deflation rate from 15% to 30%, to accelerate the reduction of new token issuance and bring supply closer to the lower limit faster.

SGP-0003 proposes to modify the transaction fee system to increase the proportion of permanent destruction costs. If the proposal is passed, the daily token destruction volume could increase from approximately 650 SOL to nearly 9000 SOL. At current prices, this equates to a daily value of approximately $846,000 removed from circulation.

SGP-0002 is designed to speed up the removal of new SOL from supply, while SGP-0003 introduces a variable transaction cost component that will be completely destroyed, potentially expanding daily destruction volumes to between 7500 and 9000 SOL.

Although SGP-0001 will formally implement the governance protocol, votes on SGP-0002 and SGP-0003 are also being held simultaneously, highlighting the early application of on-chain decision-making mechanisms.

Wall Street and Chain Tokenization Trends

While blockchain networks are rolling out innovative proposals to shape supply and fee structures, broader capital allocation is also transforming. Traditional financial markets, which have long relied on intermediaries and complex brokerage systems, are now refocusing on asset tokenization. Wall Street investors are increasingly using platforms to hold stocks of leading U.S. companies, as well as gold and silver, directly in their crypto wallets. The tokenization of real-world assets and automated price discovery across markets eliminates the need for middlemen and allows users to seamlessly access digital and traditional assets from a single wallet.

Analysts and ETF inflows support bullish sentiment

CoinGlass data showed that Solana-related investment products recorded net inflows for four consecutive trading days last week, totaling US$28.34 million, setting the best weekly performance in two months. The surge in fund activity coincided with SOL's price breakthrough, marking a return to institutional interest.

Cryptocurrency analyst Ivan on Tech called SOL's trend reversal its "first bullish reversal since the fourth quarter" and viewed the current technology form as a technical catalyst for the potential strength of other projects on the Solana blockchain. He emphasized that SOL's technological breakthroughs may stimulate the momentum of the entire Solana ecosystem and create a favorable environment for the further appreciation of ecological tokens.

Despite the return of funds, market observers are still cautious about judging a decisive shift in trends based on just one week of activity. In early trading Monday, SOL traded above $96, a 24-hour gain of 1.6%.