SOL

After months of outflows and market uncertainty, Solana capital inflows are finally back in the green. According to Glassnode, Solana’s 30-day realized cap inflows have turned positive, growing by 4–5%—matching XRP’s growth rate.

This key shift suggests that investor interest in Solana is returning, potentially marking the beginning of a new bullish cycle.

Why This Inflow Matters

Positive capital inflows usually reflect rising confidence from both retail and institutional investors. For Solana, which has struggled with volatility in recent months, this could mean growing momentum and renewed market attention.

Institutional Moves Fuel Optimism

In parallel, DeFi Development Corp. recently made its largest Solana purchase to date—acquiring $23.6 million in SOL. The company now holds around 596,000 SOL, valued at over $102 million, which is currently being staked.

At the same time, VanEck introduced VBILL, a tokenized U.S. Treasury fund deployed on multiple chains, including Solana. This solidifies Solana’s relevance in the real-world asset (RWA) tokenization space.

Although the SEC delayed a decision on Grayscale’s proposed spot Solana ETF until October 2025, the delay does little to slow rising institutional attention on the network.

Technical Analysis: What’s Next for SOL?

As of writing, SOL trades at $169.23, down 6% in the past 24 hours. Still, it’s up 10% over the week—a strong sign of recovery.

On the daily chart:

• Immediate support: $163.53 (Fib 1.618)
• Next resistance: $177.20 (Fib 2.618)
• Upside targets: $190.87 and $199.32
• Further support if $163.53 breaks: $155.08 and $149

Meanwhile, RSI stands at 60.19, indicating healthy momentum. The drop from overbought levels suggests a cooldown phase, but the bullish trend is intact. A bounce from here could trigger another price rally.

Final Thoughts

Solana’s recent capital inflow reversal, combined with major institutional activity, is a strong signal that confidence is returning. With technicals still showing strength and new use cases emerging, Solana may be gearing up for a breakout in the months ahead.

Despite trading slightly lower today, Solana price is showing strong signs of a potential rally. On May 13, SOL briefly touched $180 before facing resistance and dipping to $171. Still, impressive on-chain metrics and network growth hint that a run toward $300 could be on the horizon.

Solana’s Bullish Setup Hints at Breakout

Solana is currently trading within an ascending parallel channel. While it has faced multiple rejections at the upper boundary, it continues to hold the midline as support. This suggests a possible breakout above resistance soon.

Adding to the bullish sentiment, a golden cross is forming. The 20-day EMA is trending upward and nearing a crossover with the 200-day EMA. If this crossover happens, it could trigger the next leg of the rally, possibly sending SOL beyond $177, past its previous high of $296, and toward the $300 mark.

The Relative Strength Index (RSI) sits at 69, just below overbought territory. This confirms that buying pressure remains strong and could push Solana price beyond the $200 level in the near term.

Solana Outshines Other Blockchains in Revenue

Beyond technicals, Solana’s network fundamentals are also fueling bullish sentiment. Last week, the blockchain generated over $50 million in decentralized application (dApp) revenue, more than any other Layer 1 or Layer 2 network.

According to DeFiLlama, Solana dominated the space with 51.6% market share, over three times that of Ethereum, which came in at just 14.23%. This strong performance supports investor confidence and validates the growing utility of the network.

In the same period, DappRadar reported a 50% increase in Solana’s dApp volume, reaching $1.61 billion, with weekly transactions hitting $138 million. This spike is partly fueled by a meme coin frenzy pushing related market caps beyond $14 million.

Rising Open Interest Backs Bullish Sentiment

Further supporting the bullish case is a steady increase in open interest (OI). Solana’s OI has now reached $6.92 billion, the highest since January. Rising OI indicates that trader conviction is strong, with many expecting SOL to continue climbing.

As long as the Solana blockchain maintains this pace of adoption and performance, the Solana price outlook remains optimistic. A breakout beyond $180 could pave the way toward the psychological resistance at $200, with bulls ultimately aiming for $300.

Conclusion

With technical indicators, rising trading volumes, and strong fundamentals all pointing up, the Solana price is poised for its next major breakout. If current trends hold, SOL could retest its previous highs and potentially reach $300 in the coming weeks.

Solana is making big strides to improve performance with its latest validator upgrade, aiming to solve congestion issues and boost scalability.

Agave 2.2: A Major Leap Forward

On May 5, Solana’s infrastructure firm Helius launched Agave v2.2, an updated version of the Solana validator client. This upgrade increases block capacity by 20%, pushing compute limits from 50 million to 60 million units. As a result, the network can now handle more transactions per second, greatly improving throughput and responsiveness.

The increased block size directly addresses congestion problems, making Solana more efficient and scalable for future growth.

Smarter Data Handling for Faster Transactions

Another significant improvement is the switch from Merkle trees to Account Lattice Hashes. This change reduces network load by tracking only changes in accounts rather than the entire data, making transactions lighter and faster.

Better Developer Tools and Flexibility

According to Ben Hawkins, who leads the staking ecosystem at the Solana Foundation, the upgrade also brings big benefits to developers:

• Apps can now be paused and updated without deleting them.
• Developers can modify specific parts of an app without reuploading the entire codebase, reducing resource consumption.
• Restrictions on linking app components have been removed, streamlining app development.

Easier and Safer User Experience

For end-users, Solana now supports passwordless logins. This feature enhances Web2 integration and improves overall security and user convenience.

Stability After Past Setbacks

Solana faced criticism in 2022 after several network-wide outages and the collapse of FTX, one of its major validators. However, the network has since stabilized, and this latest upgrade signals its ongoing commitment to reliability and decentralization.

The Solana price rally could soon accelerate, driven by new institutional moves. DeFi Development Corp. (DDC) recently filed a $1 billion shelf offering with the U.S. Securities and Exchange Commission (SEC), hinting at a major influx of funds.

DeFi Development Corp. Bets Big on Solana

DeFi Development Corp., formerly known as Janover Inc., is shifting its focus towards Solana. The company’s $1 billion shelf offering allows it to issue various securities like common stock, preferred stock, warrants, and debt instruments over time.

Unlike a single issuance, a shelf offering lets DDC raise capital gradually. This flexibility may lead to continuous investments into Solana, especially as institutional appetite for SOL tokens grows.

Notably, DDC has already invested heavily, raising about $34.4 million in SOL to support future acquisitions. This mirrors strategies from companies like Galaxy Digital, which also back Solana and use staking to earn income.

Solana Price Outlook: Bullish Signs Ahead

With institutional players stepping up, Solana’s price is gaining serious attention. Market analysis shows a strong bullish trend emerging.

On the technical side, Solana is trading above the middle line of the Bollinger Bands, a classic indicator of bullish momentum. Meanwhile, the MACD indicator has issued a buy signal, reinforcing the case for more upside.

If demand continues to rise, analysts believe Solana could soon test the $200 resistance. Sustained buying pressure might push it even higher in the coming weeks.

Rising Institutional Activity in the Solana Ecosystem

The Solana ecosystem itself is buzzing. Major transfers, such as a 117,913 SOL ($18.26 million) deposit to Kraken by Pumpfun, suggest heightened market activity.

In addition, Sol Strategies recently secured a $500 million funding deal for Solana staking initiatives. This partnership, alongside DDC’s aggressive investment plans, signals that institutional confidence in Solana is growing fast.

As these collaborations deepen, many expect Solana’s price rally to continue building momentum through 2025.

Solana’s (SOL) price has taken a hit, dropping 15% from its weekly high to $127 on Saturday. This marks its lowest level since March 2021 as a broader crypto sell-off impacts its meme coin ecosystem.

Several Solana-based meme coins have seen steep declines. Fartcoin lost 15%, while Popcat, ai16z, and Bonk (BONK) fell by more than 10%. The total market cap of Solana meme coins shrank by $18 billion, now sitting at $7.2 billion.

Solana’s DEX Volume Surges Despite Price Drop

While prices are falling, Solana’s decentralized exchange (DEX) activity has spiked. DeFi Llama data shows that Solana’s DEX volume surged by 60% over the past seven days, reaching over $3 billion.

For the first time in weeks, Solana’s DEX protocols outperformed Ethereum ($11.35B) and BSC ($8.9B) in volume. Most of this activity came from Pump, which handled $2.8 billion in transactions, surpassing top Solana DEXs like Orca, Meteora, Raydium, and Lifinity.

Institutional Interest Grows with BlackRock’s BUIDL Expansion

Despite the price dip, Solana received positive news. BlackRock, the world’s largest asset manager, expanded its BUIDL money market fund to the Solana network. BUIDL’s assets have grown to over $1.86 billion, signaling increased institutional interest in Solana’s ecosystem.

Solana Price Prediction: Will It Drop to $100?

Technical analysis suggests a bearish outlook for Solana. The coin has dropped from January’s high of $295.45 to its current levels, forming a bearish flag pattern—a sign of further decline.

Adding to the concern, Solana formed a death cross on March 4, where the 50-day and 200-day moving averages flipped downward. If Solana falls below the $120 support level, which has held since April 2023, the next target could be $100.

Solana is making headlines with an 8% price surge in the last 24 hours, signaling growing bullish momentum. At press time, SOL trades at $143.3, still below its 20-day EMA but showing strong institutional interest.

Traders Bet Big on SOL

On Binance Futures, 78.82% of traders are holding long positions in SOL, according to analyst Ali Martinez. CoinGlass data also highlights a 106% surge in derivatives volume and an 1,117% spike in options trading.

📈 What does this mean?

• Increased derivatives activity often signals rising bullish sentiment.
• SOL is currently the sixth-largest crypto, drawing more investor attention.

Institutional Inflows Reach $6.4M

According to CoinShares, Solana investment products saw $6.4 million in inflows, while Ethereum recorded $86 million in outflows.

This shift suggests institutional investors are favoring Solana over Ethereum, possibly seeing it as a stronger long-term alternative. Additional capital has also flowed into Polygon and Chainlink, reinforcing broader altcoin market interest.

Will a Solana ETF Be Approved?

The hype around a potential spot Solana ETF is adding to investor excitement. Polymarket predictions suggest an 87% chance of approval in 2025.

Even Donald Trump recently mentioned SOL as a candidate for inclusion in the U.S. crypto reserve. With a pro-crypto SEC in place, the chances of an ETF approval are improving. If successful, Solana could see massive institutional adoption, similar to Bitcoin ETFs.

SOL Price Analysis: Key Resistance Ahead

Indicators to Watch:

✅ RSI at 52.14 → Indicates room for upward movement.
✅ Bollinger Bands show SOL testing $146.28 → A breakout could push SOL to $175–$200.

Solana’s ecosystem is also expanding, with meme tokens and stablecoins gaining traction. Trump even launched his own Official Trump Token, currently trading at $11.89 with a $2.37 billion market cap.

What’s Next for Solana?

If SOL breaks $146, it could target $175 or even $200 in the coming weeks. However, a rejection at resistance could lead to a short-term pullback.

Solana (SOL) has jumped 6% in the past 24 hours, fueled by a rise in long positions and increased market activity. This surge reflects renewed confidence in SOL’s short-term price recovery.

Solana’s Long/Short Ratio Shows Growing Bullish Sentiment

The long/short ratio for Solana indicates a strong bullish trend. Currently, the ratio stands at 1.01, signaling that more traders are betting on SOL’s price increasing rather than falling.

🔹 What is the Long/Short Ratio?

• Above 1 → More long positions, indicating bullish sentiment.
• Below 1 → More short positions, signaling bearish expectations.

With SOL’s ratio above 1, traders are clearly expecting further price gains.

Open Interest Rises, Strengthening Bullish Outlook

Another key factor driving SOL’s momentum is its rising open interest (OI). At press time, SOL’s open interest is $4.11 billion, up 11% in a day.

🔹 Why Does Open Interest Matter?

• High open interest means more traders are entering positions, boosting market participation.
• A rise in OI often signals a strengthening trend, suggesting continued bullish momentum.

This influx of capital into SOL’s derivatives market further supports the idea that traders expect prices to rise.

Can Solana Break Past $135 and Reach $160?

Currently, SOL is trading at $133.01, just below the key $135.58 resistance level.

✅ If buying pressure increases, SOL could flip $135.58 into support, potentially pushing its price to $160.18.
❌ If bears regain control, SOL may drop back to $126.32, erasing recent gains.

Final Thoughts

Solana’s price surge, rising long positions, and increasing open interest all point to strong bullish sentiment. If demand remains high, SOL could soon test the $160 level. However, a lack of buying pressure could lead to a short-term pullback.

Solana’s network engagement has dropped sharply, leading to a significant decline in its total value locked (TVL). As a result, SOL’s price continues to slide, with weak demand threatening further losses.

User Engagement Drops, Impacting Network Growth

In the past month, the number of daily active addresses on Solana has fallen by 35%, according to Artemis. Only 4.08 million addresses interacted with the Layer-1 network in the last 30 days.

A drop in daily active addresses signals weak user adoption, declining investor interest, and a potential migration to other blockchains. This shift has also reduced transaction volume, with daily transactions decreasing by 18%.

Solana’s DeFi Ecosystem Feels the Pressure

As network participation slows, Solana’s DeFi liquidity is drying up. The blockchain’s TVL now stands at $6.69 billion, its lowest point since the start of the year.

A declining TVL indicates low investor confidence, as users withdraw funds from DeFi protocols. This weakens the network’s liquidity and adds selling pressure on SOL.

SOL Price at Risk of Dropping Below $120

SOL’s price is struggling amid weak demand. Currently trading at $124.86, the altcoin has dropped 35% in the past month.

The Relative Strength Index (RSI) sits at 36.91, signaling low demand. If selling pressure continues, SOL could fall to $120.72. A further breakdown might send it toward $108.43.

However, if market sentiment shifts positively, SOL could bounce back to $136.62.