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This month has not been kind to major altcoins. Ethereum [$ETH] and Solana [$SOL], for instance, have both been under immense pressure!
What’s interesting is that historically, June has been a weak period for both tokens. Here’s why…
June sell-off hits Solana harder than Ethereum
June has been rough for both Ethereum and Solana, with the latter taking the bigger hit.
Month to date, Ethereum was down 17.1% at press time, already worse than its historical June average of -7.68%.
Solana’s fall was worse at 20.5%. Its historical June average seemed to be less negative, but the median return was weak.
Simply put, $ETH’s June weakness has been consistent. $SOL’s drop has certainly been more severe though, especially in comparison to its usual performance over the month.
ETF flows add to failings
Ethereum Spot ETFs have seen a lot of outflows this month, with daily netflows at around $35.59 million at the time of writing.
Total net assets were near $8.96 billion. However, the demand has not been strong enough to support the token’s price so far.
Solana’s scene seemed to be smaller. Daily net inflow was flat, with total net assets around $729.15 million.
While $SOL hasn’t faced the same outflows as $ETH, there also hasn’t been enough green to offset the sell-off.
Traders are still holding risk
Despite the dull show though, there hasn’t been a full exit from risk.
Ethereum’s aggregated Open Interest was still around $10.06 billion, while its funding rate was slightly positive at 0.0040.
At press time, traders’ positions were still very much open. Even though conviction looked a little less strong than earlier in the month.
Solana’s appearance was similar, but on a smaller scale. Its Open Interest was near $1.80 billion, with funding also positive at 0.0070.
With funding only mildly positive, it might mean that the market isn’t sure yet. However, it might also definitely be a sign of hope that traders haven’t given up yet.
Final Summary
- Ethereum and Solana are extending their historically weak June trend.
- Despite the recent dip, traders have not fully exited $ETH and $SOL yet.
