Solana Surges Above $137 as $16M ETF Inflows Signal Strong Institutional Demand
Solana (SOL) surged to over $137 Tuesday, marking a 7% gain on the week and prompting some analysts to sit up and take notice...
Quick overview
- Solana (SOL) surged to over $137, marking a 7% gain this week and indicating growing institutional interest.
- Spot Solana ETFs recorded $16.24 million in inflows on Monday, the largest single day since mid-December, pushing total net assets past $1 billion.
- On-chain metrics show increased buy-side orders and rising stablecoin supply, suggesting a bullish outlook for Solana's ecosystem.
- Technical indicators point to potential resistance at $150.61, with support at $126.65 if the market experiences a downturn.
Solana (SOL) surged to over $137 Tuesday, marking a 7% gain on the week and prompting some analysts to sit up and take notice of growing institutional interest. To be more precise, it was the biggest week yet for SOL with a massive 7% rise. And it looks like it’s not just the usual suspects taking a punt – spot Solana ETFs recorded a whopping $16.24 million in inflows on Monday, the biggest single day since mid-December, sending total net assets past $1 billion this week.
Experts say sustained inflows of this kind can only mean one thing: institutional investors are becoming much more confident in Solana, which in turn is likely to drive the price even higher. Meanwhile, the analysts are pointing to the fact that ETFs are attracting the big boys – professional investors – which is just another nail in the coffin for Solana’s negative bearish trajectory.
Key ETF highlights:
- $16.24 million inflows on Monday (that’s the biggest since mid-December for those who are counting)
- Total net assets have well and truly topped $1 billion
- It’s all pointing to ever-increasing institutional interest in Solana.
On-Chain Data Spells Bullish Times Ahead
On-chain metrics are just adding fuel to the fire here – they’re all pointing to an upward slipstream for Solana. Data from CryptoQuant shows large orders from whales, a clear dominance of buy-side orders, and a bit of cooling in the spot and futures markets – all of which point to a marked improvement in trader sentiment.
On top of that, DeFiLlama says Solana’s stablecoin supply has risen to $15.32 billion, reflecting rising network activity and a potentially expanding user base. Why is this important? Well, high stablecoin circulation is a pretty good barometer for ecosystem demand, which in turn means that Solana’s bull run may not be over just yet.
Solana (SOL/USD) Price Forecast and Key Technical Levels
Solana broke through the upper trendline of a falling wedge on December 26 to go on and rally up 12% or more – and to close above that fateful 50-day EMA at $163.45. And now, as of Tuesday, SOL is trading well above $137, with the bulls and bears alike eyeing the next level of resistance at $150.61 – the 100-day EMA.
Technical indicators are also backing this up:
- RSI is at 63 – and that’s a pretty clear signal that momentum is on the up
- MACD is doing the same – it’s showing a bullish crossover with rising histogram bars
Now, all is not lost if the market does take a tumble – there is some support at $126.65, which may act as a cushion if things get scary. But analysts say that if SOL can keep trading above $137, it could reach $150 before too long. On the flip side, if the market does take a tumble, then it’s likely to target the lower support level.
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