Solana (CRYPTO: SOL) price jumped and crossed a key resistance level as the cryptocurrency market rebounded and demand for SOL ETFs increased. It has also risen 102% from its lowest level this year as staking inflows grow, with technical analysis suggesting more upside is possible.
Solana’s Demand is Soaring
Investors are piling into Solana as the crypto market rebound continues. One of the best metrics that confirms this is the ongoing demand for spot SOL ETFs. These funds have had inflows in the last six consecutive days, bringing the monthly gains to $264 million. This is the third month that these funds have had inflows.
In total, these funds have had over $1.61 billion in inflows, bringing their total assets to over $1.96 billion. Bitwise’s BSOL ETF has over $1.36 billion in assets, and is followed by those by companies like Fidelity, Grayscale, Morgan Stanley (NYSE:MS), and VanEck. The soaring inflows mean that demand for the coin is surging.
The rising demand has also led to more flows into staking pools. Its staking ratio has jumped to nearly 70%, meaning that most investors hold it for the long term. These investors are now earning a 5.04% in annual return. The staking market capitalization has jumped from $42 billion on September 16 to $54 billion today.
Solana’s top metrics are doing well. Its stablecoin market capitalization has jumped to $16.7 billion, while the amount of real-world assets (RWA) has jumped to $2.45 billion. These metrics make Solana one of the biggest layer-1 networks in the world.
Solana has done well in line with the ongoing rebound of most coins. Bitcoin (CRYPTO: BTC) has jumped from $57,000 in July to over $84,000 today, while the market capitalization of all coins has jumped to over $2.8 trillion.
Solana Price Has Jumped Above a Crucial Resistance
SOL price chart | Source: TradingView
The daily chart shows that Solana has some of the best technicals. It formed a bullish flag pattern, which is made up of a vertical line and a descending channel. This pattern usually leads to a strong continuation.
It has also moved above the key resistance level of $110, its highest level on August 28. Also, it formed an inverted head-and-shoulders pattern. It has also formed a golden cross pattern as the 50-day moving average has crossed the 200-day one.
Therefore, these technicals suggest that Solana’s price will continue rising as bulls target the psychological level of $150. If this happens, this rebound will be a 25% surge from the current level.
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