Core Insights - U.S. spot Solana exchange-traded funds (ETFs) experienced their largest single-day outflow of $32.19 million, diverging from a broader crypto market rally led by Bitcoin [1] - The outflow was primarily driven by 21Shares' TSOL product, which saw $41.79 million exit, marking the third outflow event since the funds launched [1][2] - Despite the ETF outflows, Solana's on-chain fundamentals remain strong, with over $321 million flowing onto the network in the past month, primarily from Ethereum [3] ETF Performance - TSOL has been the main contributor to all three Solana ETF redemption events, with previous outflows of $13.55 million on December 1 and $8.10 million on November 26 [2] - The recent outflow coincided with the launch of Franklin Templeton's competing Solana ETF (SOEZ) [3] Market Sentiment - Users of the prediction market Myriad are cautious about Solana's short-term prospects, assigning a 95% chance that it will not break its all-time high before year-end [5] - Despite Bitcoin's recovery, the outlook remains tense due to upcoming Federal Reserve interest rate decisions and economic data releases [5][6] On-Chain Activity - On-chain activity for Solana has decreased since the memecoin peak, with active addresses at multi-month lows, although positioning on derivatives remains net-long [4] - The overall sentiment in the market is in the fear territory, influenced by liquidation spikes since October 10 [6] Altcoin Performance - Several altcoins, including Fartcoin, ZCash, Sui, and PumpFun, have shown strong recovery, posting double-digit rallies over the past week [6]