Solana’s SOL (SOL) has rallied 10% over the past 24 hours, rising to an intraday high of $86 on Wednesday.
The recovery was accompanied by a leap in futures activity, with SOL’s open interest rising by more than 5% to $5.27 billion.
Analysts are now focusing on the short-term technical setup and fundamental indicators that may signal a major turning point for SOL.
Key takeaways:
SOL price has risen 10% in 24 hours, fueled by bullishness in the broader market and Solana ETF inflows.
Solana’s symmetrical triangle breakout targets $110 SOL price.
SOL recovers with the crypto market
The SOL/USD pair rose as much as 13.6% to $86 on Wednesday from a two-week low of $75 on Tuesday, amid a marketwide recovery.
Bitcoin (BTC), the market leader, was trading at $66,800 at the time of writing, up 5% over the 24 hours. Second-placed Ether (ETH) has gained about 8% on the day to trade just above $1,990. XRP (XRP) has also posted significant daily gains among the top 10 cryptocurrencies, up 6% over the same period.
As a result, the global crypto market capitalization is up 4% on the day to $2.28 trillion on Wednesday.
Solana’s surge today is accompanied by significant short liquidations totaling $15.4 million over the last 24 hours, signaling intense demand-side pressure.
The buyers were also US-based spot Solana ETFs, which have recorded $40 million in net inflows since Feb. 9.
The growing demand-side pressure that could push SOL prices higher when coupled with increased inflows from global Solana investment products and buying by whales.
SOL’s symmetrical triangle breakout targets $110
Data from TradingView shows SOL price breaking above a symmetrical triangle on the six-hour time frame, as shown in the chart below.
The price needs to close above the 100-day simple moving average (SMA) at $86 to sustain the upward momentum.
The measured target of the prevailing pattern, calculated by adding the height of the triangle to the breakout point, is $110, coinciding with the 50-day SMA. This represents a 28.5% rally from the current levels.
As Cointelegraph reported, a daily candlestick close above the 20-day EMA, currently at $88, would open the way for a rise toward $95 and later to $117.
Glassnode’s realized price distribution data for Solana shows limited historical buying activity above $85, suggesting that the bulls could easily break this resistance.
In other words, there are relatively few SOL holders with a cost basis above this zone, reducing the chances of sellers stepping in decisively until the price reaches higher supply zones.
The next significant resistance sits at $115, where approximately 22 million SOL were previously acquired.
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