This indicator acts as a strong reverse sentiment signal. Extreme volume spikes in either direction often mark moments when individual traders follow emotion over reason. Large upward bars at price peaks or dramatic downward bars at price lows typically show institutions absorbing trades from panicked retail participants.

Solana ETF flows expose the psychology of major investors, but more importantly, they reveal when the majority is wrong. Retail traders typically rush into SOL ETFs during hype cycles, buying near tops. When fear takes over, they often sell near bottoms. Experienced investors spot these patterns and position themselves accordingly.