- Solana price rises to near $140 from a weekly low, hinting at a potential rebound.
- Institutional demand for Solana ETFs attracts nearly $421 million in inflows.
- SOL’s rising open interest and active addresses show growing activity amid volatility.
Solana (SOL) has recently demonstrated signs of price recovery, with key indicators showing that $130 is a reliable support zone. Over the last 24 hours, SOL price has surged over 5% to $140, forming a V-shaped recovery pattern.
This recovery follows a 20% drop from $173 in the past week, which hints at a revival of buyer interest despite crypto market volatility. The relative strength index (RSI) has also risen from below 30 to over 50 indicating that upward momentum is increasing.
Furthermore, according to historical price movements, a possible rebound could set the stage for a price rally toward $200 or beyond.
$130 Support Level as a Strong Base for Solana Price
Solana price movement formed a base level of support near its low of $130. Historical price data indicate that SOL has repeatedly found strong support at the $130 level, with past rallies after bottoming near the support level leading to significant price increases.
According to price history, in late 2024, the price jumped by 108% to reach $260 from a low of $130. Similarly, between April and September this year, SOL surged to $250 from the same support zone.
If history repeats, SOL price may experience a similar recovery, potentially rising to $250 price levels, which is an 80% increase from its current price near $141.
Increased ETF Inflows Boost Solana’s Price Recovery
Institutional demand may also fuel Solana price movement. Large investors are showing interest following the launch of Solana exchange-traded funds (ETFs). According to data, since launch, Solana ETFs have attracted $421 million in inflows, with the total amount of assets in these funds reaching $593 million.
The surging inflows into ETFs reflect demand and confidence in SOL’s long-term potential, which adds to indicators of an upward price recovery. In addition, VanEck launched its ETF, VSOL, on November 17, with other asset managers like Fidelity and Canary following with their own SOL ETFs on November 18.
Also Read | SOL’s Big Break: Institutional Investors Get Regulated Access to 15% Yield
Futures Market Activity Suggests Rising Buyer Interest
Alongside ETF inflows, data from CoinGlass indicates that open interest in Solana’s futures market has surged to $7,27 billion over the last 24 hours. This rise in open interest or positive funding rates in the futures market indicates increased buyer interest in SOL, which adds to the bullish view for the cryptocurrency.
Furthermore, according to Nansen, the number of Solana active addresses increased by 18% over the last 30 days while the number of daily transactions rose by 10%. These on-chain metrics, in addition to SOL’s dominance in DApp revenue, indicate a long-term growth potential for SOL price.
Also Read | Solana Surges To The Top As The No. 1 Blockchain In DEX Activity
