Solana treasury backs ‘double disinflation’ plan amid 30% price decline

Solana (SOL) is experiencing a significant rebound, supported by a record $39.5 million inflow into Bitwise's Solana ETF, reinforcing its $128 support zone. This surge in institutional demand comes after a period of market instability, offering renewed optimism for SOL's price recovery.

The Solana price has been experiencing a significant decline since October, largely attributed to the actions of the meme coin launchpad Pump.fun, which has reportedly sold over $436 million in SOL. This cash-out has raised concerns about the stability of the Solana ecosystem as it coincides with a broader downturn in the cryptocurrency market.

Bitcoin has experienced a significant decline, falling over 30% in value, with recent trading pushing the price down to around $82,000. This sharp drop has caused panic among newer investors, while veteran holders remain largely unfazed, viewing such volatility as a normal aspect of Bitcoin's history.

The DeFi Development Corp has become the first Solana treasury to endorse SIMD-0411, a proposal aimed at accelerating emissions cuts amidst a significant 30% decline in Solana's price. This decision reflects the urgent need for strategic adjustments as corporate holders face financial losses.

VanEck has amended its filing for a BNB ETF, removing all staking plans, which marks a significant shift from its previous strategy that included staking features similar to its Solana ETF. This decision comes amid increasing regulatory scrutiny and uncertainty surrounding cryptocurrency investments.

VanEck has amended its filing for a BNB ETF, eliminating all staking plans, which marks a significant shift from its previous strategy that included staking features similar to its Solana ETF. This decision comes amid increasing regulatory scrutiny and uncertainty in the cryptocurrency market.

MSCI has initiated a consultation that could lead to the exclusion of companies holding 50% or more of their balance sheet in Bitcoin or other digital assets from its global equity indexes. This move has raised concerns about forced selling risks, particularly for Strategy ($MSTR), which is heavily leveraged in Bitcoin investments. The market reacted negatively, exacerbated by a bearish note from JPMorgan.

Solana's price has approached $140, buoyed by strong ETF inflows and increased network revenue, indicating a renewed risk appetite in the cryptocurrency market. The cryptocurrency has shown resilience, trading in the high $130s with a market cap around $76 billion, suggesting significant liquidity from institutional investors.