Solana (SOL) continues to extend its recovery, trading above the $137 level at the time of writing on Tuesday, marking a weekly gain of more than 7%. The latest price expansion comes as institutional demand strengthens, with spot Solana ETFs recording their largest single-day inflow since mid-December, while on-chain indicators suggest improving market structure and risk appetite.
Together, these factors are reshaping short-term expectations for SOL and reopening discussions around a potential move toward higher resistance zones.
Institutional Demand for Solana Continues to Build
Since the official launch of spot Solana ETFs on October 28, institutional interest has steadily intensified. According to data from SoSoValue, spot SOL ETFs recorded net inflows of $16.24 million on Monday, representing the strongest daily inflow in nearly three weeks.
More importantly, total net assets across Solana ETF products have now surpassed the $1 billion mark, underscoring sustained capital commitment rather than short-lived speculative interest. As inflows remain stable and show signs of acceleration, market participants increasingly view Solana as one of the primary beneficiaries of institutional diversification beyond Bitcoin and Ethereum.
On-Chain Data Supports a Constructive Outlook
On-chain metrics further reinforce the bullish narrative. Data aggregated by CryptoQuant indicates increased whale participation on both spot and derivatives markets, alongside easing market overheating conditions and a gradual shift in dominance toward buyers.
At the ecosystem level, DefiLlama data shows that stablecoin supply on Solana has rebounded to approximately $15.32 billion since the start of January. Rising stablecoin liquidity is widely interpreted as a positive signal, as it enhances trading depth, supports DeFi activity, and improves overall network utility—often preceding periods of sustained price expansion.
Solana Price Structure: Bulls Target the $150 Zone
From a technical perspective, Solana confirmed a meaningful trend shift on December 26, when price decisively broke above the upper boundary of a descending wedge pattern that had been in place since early October.
Since that breakout, SOL has gained more than 12% and established acceptance above key moving averages. The asset recently closed firmly above the 50-day exponential moving average (EMA), signaling that short-term momentum has turned constructive. As of Tuesday, SOL continues to trade comfortably above $137, indicating that buyers remain in control.
If the current structure holds, the next major upside objective sits near $150–151, aligning closely with the 100-day EMA and a historically active resistance zone.
Momentum indicators support this scenario:
The daily Relative Strength Index (RSI) is hovering around 63, above the neutral 50 level, reflecting strengthening bullish momentum without entering extreme overbought territory.
The MACD has printed a bullish crossover, with expanding green histogram bars above the zero line—typically associated with trend continuation in the short term.
Downside Risks and Key Support Levels
Despite improving conditions, downside risk cannot be ignored. If profit-taking intensifies or broader market sentiment weakens, SOL could retrace toward its weekly support near $126.65. A clean loss of this level would weaken the bullish setup and suggest that the current move may be corrective rather than impulsive.
As long as price holds above this support zone, the broader recovery structure remains intact.
Technical Trade Scenario (For Market Observation Only)
Trend Bias: Bullish continuation above key support
Timeframe: Daily / Swing structure
Potential Buy Zone: $132 (pullback toward prior breakout area)
Invalidation / Stop-Loss: Below $125 (weekly support failure)
First Target (TP1): $145
Second Target (TP2): $150 – $152 (100 EMA / resistance zone)
This scenario assumes sustained ETF inflows and stable on-chain conditions. A breakdown below weekly support would invalidate the bullish thesis.
Disclaimer:
This article is for informational and educational purposes only and reflects personal market analysis. It does not constitute financial or investment advice. Cryptocurrency markets are highly volatile, and investors should conduct their own research before making any trading decisions.
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