Solana (SOL) Price Strengthens After $10.8M ETF Inflows, Bulls Target $180

Solana-linked ETFs registered net inflows of $10.8 million on a single trading day, marking the continuation of more than a month of positive net flows. The fact that the net inflows have been registering on a continuous basis indicates that the trend is not the result of speculation, as the confidence of the professionals is increasing.

Source: X

Institutional SOL holdings have been increasing in recent weeks, with ETFs being one of the important factors that determine overall market positioning.

Analysts point out that in most cases, the token holdings by institutional investors are preceded by improved market resilience despite strong selling pressure. This development further underscores the increasing popularity of the token among Layer-1 coins.

Also Read: Solana (SOL) Holds Above 50-DMA at $132 as $140 Breakout Signals a Potential 12% Move

SOL Tests Key Resistance With Eyes on $170 Upside

However, the crypto analyst, Crypto Pulse, highlighted that the token is gaining strength as the price is contracting below the prominent daily resistance level, which indicates an increase in the strength of the bullish trend.

There is more aggressive buying, with the indicators for volume and momentum showing continuous improvement. The resistance levels of $145 to $148 have been preventing the recent uptrend in the token.

Source: X

A strong close above the resistance level would confirm the break and establish an overall positive trend in the short term. This would trigger momentum buying and the token would move towards the $160-$170 level. This is the next major target level where volatility would be expected to increase as market participants would reassess the trend.

SOL Price Strengthens With Highest Close Since November

Moreover, another crypto analyst, curb.sol, pointed out that the token has now made the strongest daily candle close since the beginning of November, which is a technical indicator that shows a strong momentum shift. 

The fact that it made such a strong close indicates that there is strong buying pressure rather than a spike, and it also shows that the token has come out of the consolidation phase. Typically, such strong closes have been followed by strong gains for the token in past market cycles.

Source: X

Given that this breakout pattern has been confirmed, it means that traders have set their sights on the $180 level, which was previously a long shot at best.

Psychological resistance areas have a way of leading to quick discoveries, and what’s happening in the token right now certainly supports this trend. To overlook this trend could mean that an emerging trend has already begun.

Also Read: Solana (SOL) Price Nears Breakout as ETF Inflows Return and $159 Comes Into Focus