Breaking news! Solana stake ETF may be approved in mid-October, as the SEC's decision countdown triggers a massive migration of institutional capital.

ETF analyst Nate Geraci stated that several top asset management firms, including Franklin Templeton and Fidelity, submitted the latest S-1 amendment for the Solana Spot ETF to the SEC on Friday, with approval expected by mid-October. These documents include staking functionality for the first time, marking Solana as the next focus for institutional adoption. Meanwhile, amidst the backdrop of $60 million inflow into the Bitwise Solana ETP in Europe, a large number of whales are rotating assets, shifting Bitcoin (BTC) positions to Ethereum (ETH) and altcoins in anticipation of potential ETF approvals and a new wave of capital inflow into the market.

Solana ETF Approval Imminent: Mid-October Becomes a Key Time Window

The approval process for the Solana (SOL) Spot ETF is accelerating, with a significant breakthrough expected in October this year. ETF analyst Nate Geraci pointed out on the X platform that top asset management companies, including Franklin Templeton, Fidelity, CoinShares, Bitwise, Grayscale, VanEck, and Canary Capital, have concentrated their updated documents for their Solana Spot ETF proposals.

· S-1 File Update: These S-1 form documents provide detailed disclosures about the fund structure, risks, and operational status, serving as the final preparations before the ETF approval. Geraci predicts that the approval could be finalized in the next two weeks, stating that October is a "crucial month" for digital asset products.

· Eye-catching performance on the first day: In the United States, the REX-Osprey Solana Staking ETF has been launched on the Cboe BZX Exchange, with a trading volume of 33 million dollars on its first day, attracting a net inflow of 12 million dollars, demonstrating strong market demand.

· Institutional Consensus: Pantera Capital describes Solana as the "next asset to welcome institutional moments" following Bitcoin and Ethereum. Bitwise CIO Hunter Horsley also confirmed this, noting that the Solana staking ETP listed in Europe recorded a net inflow of $60 million within five trading days, indicating that Solana has "secured a place in people's minds."

Staking Feature Entry: Major Positive Signal for Ethereum ETF

The Solana ETF application includes staking functionality, sending a strong positive signal to the entire crypto market, especially for the Ethereum ETF.

· The significance of staking: The document submitted by Solana clearly contains staking language, which suggests that the SEC may be open to allowing ETFs to generate returns through staking.

· Positive for Ethereum: For a long time, Ethereum ETF applicants have been striving to offer staking benefits, and analysts believe that an ETF with staking capabilities will "reshape the market." Although the SEC has not yet approved an Ethereum ETF with staking capabilities for listing in the United States, the progress of Solana's application has bolstered optimism among issuers and analysts that broader altcoin exposure and the ability to generate yields will drive a new wave of investor interest.

Market Capital Rotation: Whales Shift from Bitcoin to Ethereum and Alts

As the progress of altcoin ETFs like Solana accelerates, there is a subtle shift in the capital flow of the crypto market.

· Bitcoin ETF Status: Currently, Bitcoin exchange-traded products (ETP) hold over 1.47 million BTC, accounting for about 7% of the total supply, with U.S.-issued ETFs dominating. BlackRock's IBIT ranks first with 746,810 BTC, followed closely by Fidelity's FBTC, which holds nearly 199,500 BTC.

· Cooling and Transfer: However, the growth momentum of Bitcoin ETP seems to be slowing down. In August, Bitcoin ETP experienced a net outflow of $301 million, while Ethereum funds attracted an inflow of $3.95 billion.

· Whale Activity: The activities of whales also confirm this shift, as several large holders rotated hundreds of millions of dollars from BTC to ETH prior to key ETF news releases and the historically sluggish month of September.

Data from Bloomberg Intelligence analyst James Seyffart shows that the SEC is currently reviewing 92 cryptocurrency ETF applications, with many final decision dates for applications targeting Solana, XRP, and Litecoin concentrated in October. This new wave of applications suggests a surge in market interest in altcoin-themed ETFs, which could bring new capital inflows to the crypto market.

Conclusion

Solana staking ETF is expected to be approved in mid-October, which not only marks Solana's formal entry into the mainstream view of institutional investment but also serves as a huge encouragement for the entire altcoin ETF field, especially for the staking function applications of Ethereum ETFs. The influx of institutional capital and the asset rotation of whales from Bitcoin to Ethereum and alts together outline the trend of market focus shifting from single assets to diversified Web3 investment opportunities. The SEC decision in October will be a key variable in determining the structure of the new round of bull market, and investors need to closely monitor this timeline.

Disclaimer: This article is for news information only and does not constitute any investment advice. The cryptocurrency market is highly volatile, and investors should make decisions cautiously.