Solana traded at $118.36 on Monday, retracing from a strong two-week surge that saw the token climb more than 22%. While the recent dip marks a pause in the rally, Solana’s gains remain largely intact as traders and investors assess the next critical levels.
Spot ETF inflows and network activity fuel Solana’s bullish narrative
Last week, spot Solana exchange-traded funds (ETFs) attracted a combined $188.22 million, according to data from SoSoValue. This figure ranks as the second-highest weekly inflow since the products launched and extends their streak of positive flows to 13 consecutive weeks starting from early June.
Such persistent inflows suggest institutional and retail participants continued to grow their exposure to Solana using regulated investment vehicles, even as SOL’s price rallied. These inflows are viewed as an important signal for market demand, potentially helping to absorb selling pressure during the current downturn.
ETF flow data provides insight into investor appetite but does not guarantee immediate changes in price dynamics. Ongoing strong inflows could support attempts by Solana to break resistance, while a slowdown may signal caution among traders.
In parallel, Solana reported new milestones on its network. The supply of stablecoins crossed an all-time high of $17.3 billion, offering users growing dollar liquidity for trading, transferring, and utilizing decentralized applications. Additionally, Solana’s real-world asset (RWA) ecosystem reached $4.6 billion across more than 3,000 assets, with the network surpassing one million tokenized equity holders.
The combination of rising ETF inflows and expanding stablecoin and RWA activity places Solana in a stronger position as an onchain venue for a broad range of assets and applications, though short-term price volatility remains a possibility after the recent rally.
Chatting about technical trends and investor behavior has become increasingly vital for those looking to keep pace with rapid token surges. In the meme token sector, internet-driven trends can quickly transform small investments into substantial gains within days. Fomo App data recently highlighted a notable trade in “Niu Lai,” where a $99 stake grew to about $370,000. The platform enables users to discover tokens, track investor activity, and monitor trades in real time, signaling the importance of timing and token selection in volatile markets.
Technical outlook as SOL tests key resistance
On the technical chart, SOL remains above its 50-day exponential moving average (EMA) at $101.81, in addition to the 100-day and 200-day EMAs at $93.94 and $94.65. Staying above these trend indicators supports a constructive view for the near term, despite the latest pullback.
The relative strength index (RSI) was near 63, reflecting continued positive momentum without approaching overbought territory, while the moving average convergence divergence (MACD) histogram continues to show upward momentum. Both indicators could shift if downward pressure on the price increases.
The next upside target stands at $123.96. A daily close above this level would reinforce buyers’ optimism and add weight to the argument for a renewed rally.
Should the pullback deepen, support appears near the 50-day EMA around $101.81, followed by $96.19 and a cluster of long-term averages between $93 and $95. More significant support remains at $81.96 and $77.07.
Despite the recent retracement, Solana’s broader uptrend and increasing institutional engagement provide support, but the ability to break through resistance at $124 may determine the direction of the next move.
