Crypto.news reported that the price of Solana $SOL is trading at $138, marking an increase of 5% over the past 24 hours.
The currency witnessed a noticeable increase in trading activity, recording a trading volume of $6.97 billion yesterday, an increase of 34%, indicating stronger interest in the market for both spot and derivative markets.
CoinGlass data indicates that the trading volume of Solana (SOL) derivatives has increased by 23% to $18 billion, while open positions rose by 2.3% to $7.25 billion. When open positions rise during a quiet price phase, it often means that traders are gradually adding exposure rather than stepping back, which tends to happen when the market is preparing for a shift.
Liquidity indicators suggest a deep reset phase for the market cycle:
Glassnode noted that the realized profit-to-loss ratio for Solana (SOL) (30-day moving average) has remained below 1 since mid-November. Simply put, the market has been closing losing trades more than winning ones, which typically occurs during deep reset phases, where liquidity dries up before a new cycle begins.
Analysts at Altcoin Vector recently observed that Solana (SOL) is undergoing a "full liquidity reset," a phase seen during previous bottom periods. During these moments, forced selling slows down, weak hands exit the market, and the ecosystem begins to recover.
Technical signals and the Breakpoint 2025 conference as supporting factors for recovery:
According to the site, Solana (SOL) is trading above the lower Bollinger range at around $135 on the daily chart, gradually moving towards the middle range at $145. Although the relative strength index is at a neutral level of 48, it has been rising since last week's drop, and other momentum signals are also improving, as the MACD indicator has just started to turn positive, which could be an early sign of SOL's readiness for a potential rebound.
The Breakpoint 2025 conference (December 11-13) may add fuel to this recovery, as it is likely to bring updates regarding real assets, new partners, and fresh ideas for on-chain revenue—topics that typically attract major companies.
Potential scenarios for Solana (SOL) and the next steps to monitor:
According to the site, if the price of Solana (SOL) closes above $145, buyers will have an easier path towards $160, while a rejection might push the price back towards $135. Current movement indicates that Solana (SOL) is currently undergoing a reset phase, which usually comes before a new cycle, and traders should monitor the continued improvement in trading volumes and momentum indicators, along with any positive news or announcements from the Breakpoint conference.
As the end of the year approaches, the coming weeks may be critical in determining whether the currency will succeed in breaking the main resistance and starting a more sustainable upward trend, or if it will remain confined to its current range.