Hedera, Solana and Litecoin Struggle After Spot ETF Debut on Wall Street

Hedera, Solana and Litecoin failed to gain momentum after spot ETFs debuted on Wall Street; SOL fell 3% as trading volumes spiked and bullish sentiment cooled.

The debut of first spot exchange-traded funds on Wall Street failed to spark sustained gains for several mid-cap cryptocurrencies. Hedera, Solana and Litecoin struggled to gain momentum after the ETF launches on Tuesday, with bullish sentiment fading as traders reassessed positions.

Solana (SOL), the sixth-largest cryptocurrency by market capitalization, led the pullback — slipping more than 3% in the past 24 hours even as trading volume jumped. The combination of higher volume and weaker prices pointed to volatile intraday flows and profit-taking rather than fresh accumulation by long-term buyers.

Hedera and Litecoin likewise showed muted reactions to the ETFs' debut. Instead of a broad altcoin rally, many investors rotated capital toward larger, ETF-eligible assets or moved to the sidelines. That cautious posture highlights the market’s current sensitivity to product launches, headline risk and macro cues rather than momentum-driven upside across the board.

Several factors help explain this mixed reaction. First, ETF interest can concentrate on flagship cryptocurrencies, leaving smaller-cap protocols with limited direct benefit. Second, initial ETF excitement often brings short-lived volatility — rapid inflows and outflows that amplify price swings. Third, traders frequently use such events to rebalance portfolios, locking in gains in names that outperformed earlier in the year.

What traders and investors should watch next: trading volume trends, on-chain activity for Hedera and Solana, and whether liquidity continues to favor large-cap coins. Watch for sustained buying above key support levels; if volumes remain high on down days, that suggests distribution rather than consolidation. Conversely, a return of steady inflows could revive momentum for Litecoin and other lagging tokens.

In short, the Wall Street ETF debut did not produce a uniform boost for all cryptocurrencies. Hedera, Solana and Litecoin’s muted performance underscores how ETF-driven market events can create short-term volatility and selective flows. Investors should focus on volume signals, market depth and broader macro drivers before assuming a renewed bullish trend.

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