- Solana is gaining bullish momentum, with rising trader interest and network activity fueling a potential breakout toward $165.
- Solana has surged to $129 after rebounding from $125, eyeing the critical $135 resistance for a rally continuation.
Solana (SOL) is making waves in the crypto market with a strong recovery, igniting bullish momentum and sparking anticipation of a breakout rally toward $165. With increased trader interest, rising network activity, and a growing number of active addresses, SOL’s uptrend appears to be gaining traction.
Solana Price Action Signals Bullish Reversal
After rebounding from the $125 demand zone, Solana has climbed to $129, posting an intraday gain of 3.89%. The daily chart reveals a bullish reversal pattern, with a morning star formation confirming the potential for a sustained uptrend. SOL is now eyeing the key resistance level at $135, with a breakout above this trendline possibly setting the stage for a strong rally.
Network Growth and Active Addresses Surge
One of the key catalysts behind Solana’s recent strength is the surge in network activity. Over the past two weeks, the number of active addresses on the Solana blockchain has increased significantly, rising from 2.77 million to 3.3 million. This uptick indicates growing adoption and increased transaction activity, which could fuel further bullish sentiment.
Additionally, Solana’s transaction volume remains high. While February saw a slight slowdown in non-vote transactions (dropping to 1.54 billion from 1.62 billion in January), March recorded a recovery, with vote transactions surging to 8.77 billion. This trend signals a resurgence in network participation, strengthening SOL’s bullish case.
Derivatives Market Shows Strong Bullish Sentiment
Solana’s futures market reflects increasing optimism among traders. Open interest in SOL futures has risen by 1.88%, reaching $4.88 billion, indicating growing demand for leveraged positions. Meanwhile, the funding rate has turned positive at 0.0034%, further reinforcing the bullish sentiment.
What’s Next for SOL? Key Price Levels to Watch
If Solana successfully breaches the $135 resistance, the next target is the $138 pivot level. A strong breakout could propel SOL toward the $165 resistance zone, marking a significant price rally. However, if the bullish momentum falters, SOL will need to hold above the critical $125 support zone to prevent a deeper correction. Further downside support exists at $112 and $97.69 if bearish pressure intensifies.
With an improving technical setup, rising active addresses, and a bullish derivatives market, Solana appears poised for a major breakout. If SOL can sustain its current momentum and breach key resistance levels, a run toward $165 could be on the horizon. Traders and investors should closely monitor upcoming price action, as Solana’s next move could be a game-changer in the crypto market.
