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Pantera Capital believes an approved solana spot ETF in the fourth quarter could trigger a surge in institutional demand. The firm argues institutions are currently under‑allocated to solana compared with bitcoin and ether.
Pantera Capital Forecasts Institutional Stampede for Solana
According to Pantera Capital, a blockchain-focused asset manager, a solana ( $SOL) spot exchange-traded fund (ETF)—which it expects to be approved in the fourth quarter—could trigger an institutional stampede for the digital asset. Pantera believes this will inevitably lead to a rise in $SOL’s price and market capitalization, which stood at just under $121 billion as of Sept. 22 at 5 a.m. EST.
In a post on X explaining why it expects $SOL to have its “institutional moment” in the coming quarter, Pantera highlighted asset managers’ current allocation to $SOL compared with Bitcoin ( $BTC) and Ethereum ( $ETH).
“Institutions are currently under-allocated to $SOL relative to $BTC & $ETH, holding less than 1% of the total supply—compared to 16% of $BTC and 7% of $ETH,” Pantera stated in its Sept. 18 post.
This imbalance is also evident in the U.S. dollar value of institutional holdings. According to a table shared by Pantera, institutions currently hold $364.2 billion in $BTC and $30.7 billion in $ETH, reflecting a preference for the top two digital assets.
By contrast, institutional holdings of $SOL—via treasuries and exchange-traded products (ETPs)—amount to less than $1 billion. Pantera argued that this level of allocation does not reflect $SOL’s key usage metrics, which it claims surpass those of $BTC and $ETH. The firm added:
“We believe Solana’s adoption story is just beginning, offering greater asymmetric upside potential.”
To demonstrate its confidence in $SOL, Pantera recently led a private investment in public equity (PIPE) offering for the purchase and sale of Helius Medical Technologies’ common stock. The Nasdaq-listed company plans to use the net proceeds to implement a digital asset treasury strategy and acquire $SOL as its primary reserve asset.
At the time of the offering’s announcement, Pantera Capital founder and Managing Director Dan Morehead described Solana as “a category-defining blockchain and the foundation on which a new financial system will be built.” He also predicted that Helius would significantly expand both institutional and retail access to the Solana ecosystem, helping to accelerate its global adoption.
Following a period of surging institutional interest, $SOL experienced a meteoric rise, with its price rocketing from approximately $144 around July 24 to a new peak of $251 on Sept. 18. However, the token has since retreated, declining in tandem with a broader market pullback. As of Sept. 22, $SOL was trading just above $220, suggesting a temporary cooling-off period after its explosive run.