Can Solana (SOL) Resume Its Uptrend After Network Restart?

Solana (SOL) is making a feeble attempt at recovery, with its price slowly rising back up again after a sharp crash earlier this week when an outage caused the network to shut down for around 10 hours; however, the price started rallying higher after the validators initiated a restart of its network. At the time of writing, SOL/USDT is trading around $159.34.

The moves higher could be the result of the somewhat positive market sentiment towards cryptocurrencies in general, with market leaders Bitcoin and Ethereum also making gains during the previous session. While news of the outage did send shivers across the market, especially as Solana has been gaining significant attention from institutional investors lately, the swift reaction from the Solana Foundation could help calm some nerves and reverse the sharp sell-offs from Tuesday, supporting its price.

One of the hottest cryptocurrencies in the market right now, Solana has been in the spotlight as an attractive ecosystem to support DeFi and NFT projects, as it promises far higher transaction speeds and energy efficiency levels as well as lower transaction costs that several other blockchains, especially market leader Ethereum. This is evident from the surge in DeFi transaction volumes on the network, which were one of the reasons for the outage in the first place. There may, however, be a period of weakness in terms of transaction volumes as some DeFi projects running on the blockchain could take longer to become fully functional once again after the recent network restart.

Meanwhile, SOL could receive some support from the latest decision of PrimeXBT – a leading multi-currency trading platform, to start offering Solana as an instrument for trading on its platform. The platform announced the listing of seven of the largest cryptocurrencies, in line with the increasing demand among investors for trading crypto assets.

Key Levels to Watch

On the 4-hour price chart of SOL/USDT, we find a bullish bias among the larger timeframe moving averages and leading technical indicators MACD and momentum. However, the smaller MAs suggest some selling interest among investors as well.

Solana’s price is some distance from the pivot point at $172.77 and a strong uptick in buying pressure is required to take the price towards this level and beyond. If the bullish mood strengthens, this level could be broken, which could open the doors for buyers to reclaim the $200 level.

ABOUT THE AUTHOR See More

Aiswarya Gopan

Financial Writer & Editor - Asia & Europe Desk

Aiswarya Gopan is a financial journalist, editor, and content strategist with more than 19 years of experience across financial markets, fintech, blockchain, and technology. She has worked with leading cryptocurrency exchanges, including BingX and KuCoin, driving content strategy, market research, and editorial initiatives covering digital assets, DeFi, Web3, and global financial markets. Drawing on a background in cybersecurity, technology journalism, and market research, Aiswarya specializes in translating complex financial and blockchain developments into clear, timely insights. At FX Leaders, she covers cryptocurrency, stocks, forex, and macroeconomic developments across the Asian and European trading sessions.

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