Will Solana Go Up? CME to Launch SOL Futures as Institutional Interest Rises

The growing demand for regulated cryptocurrency
investment tools has prompted CME Group to introduce Solana (SOL) futures. Pending regulatory approval, these new contracts will reportedly launch on March 17 and aim to
offer institutional and retail investors an efficient way to trade and hedge
against Solana’s price movements.

This addition signals further institutional adoption
of Solana, placing it alongside Bitcoin and Ethereum in CME’s expanding crypto
derivatives market.

Data from CoinMarketCap shows that Solana
(SOL) is on an uptrend despite a general decline in the digital currency space.
The altcoin trades for $145, representing a 5% increase in the past day despite
an 18% drop in the weekly chart.

Trade regulated, capital-efficient futures on SOL, available in both larger- and micro-sized contracts so you can scale your exposure with greater precision and flexibility.Find out more about SOL☀️ https://t.co/bY0trXWsHe pic.twitter.com/Y1uZTz9iMh

— CME Group (@CMEGroup) February 28, 2025

A New Tool for Institutional and Retail Investors

According to its announcement, CME Group will offer
two future SOL contracts: a micro-sized contract at 25 SOL and a larger
contract at 500 SOL. These futures will reportedly be cash-settled and based on
the CME CF Solana-Dollar Reference Rate, which provides a daily U.S. dollar
price for SOL.

Solana futures will join CME’s crypto product suite,
which includes Bitcoin and Ether futures and options. According to the group, the demand for these products
is evident, with year-to-date trading data showing an average daily volume of
202,000 contracts, marking a 73% increase YoY. The average open interest is 243,600 contracts, up 55% YoY.

The launch of SOL futures comes at a time of
heightened market activity. Solana’s price recently fell below $140 due to a
broader crypto market correction, heavy whale sell-offs, and an anticipated
token unlock event that could release 11.2 million SOL into circulation on
March 1.

Navigating Solana’s Market Volatility

The broader crypto downturn also played a role, with
Bitcoin trading at slightly above $82k and over $1.5 billion in liquidations
occurring within 24 hours. Solana’s Relative Strength Index (RSI) is currently
around the oversold zone, indicating that the digital asset could be due for a
rebound.

The introduction of SOL futures reflects CME Group’s
ongoing effort to expand crypto investment options for both institutions and
active traders. According to the group, the launch of Solana futures
could mark a turning point for the asset’s institutional adoption, further
embedding it into the mainstream financial landscape.

Whether this translates to price stability or
increased volatility remains to be seen, but one thing is certain: Solana’s
role in the crypto ecosystem could be on an uptrend.

This article was written by Jared Kirui at www.financemagnates.com.