Solana Reclaims $100 Amid Regulatory Uncertainty

Solana has reclaimed the $100 price level after falling to $96.39 on Wednesday due to the Senate's rejection of the Clarity Act and the Federal Reserve's rate hike.

The token currently trades at $101.55, up 1.38% over the past 24 hours, with a market capitalization of $59.63 billion and a circulating supply of 587.21 million SOL.

The Clarity Act failure had a significant impact on the crypto market, with XRP falling nearly 8%, Ethereum dropping 3%, and Bitcoin losing 1.5%. However, Solana's spot ETFs have helped mitigate the damage, attracting over $1.16 billion in cumulative inflows.

The current price is caught between two opposing forces: the 3.7% network inflation issuing approximately $2.2 billion worth of new SOL per year and the growing institutional demand through Solana's spot ETFs.