Solana Leads Market Recovery After Brief Dip Below $100
Solana’s native token, $SOL, surged over the past week, rebounding from a brief dip below $100 amid renewed optimism around ETF developments and strong on-chain performance.
With a 7-day gain of more than 33%, Solana outperformed other top 10 cryptocurrencies, reclaiming support levels that helped restore bullish sentiment among traders.
Since launching its mainnet in 2021, Solana has been known for fast transaction speeds and low fees.
After reaching a high of $260 that same year, $SOL’s momentum was severely impacted by the FTX collapse, dropping as low as $8 in 2022.
Despite recent gains, $SOL still trades roughly 55% below its all-time high from January, leaving room for recovery as ETF-related developments continue to emerge.
Solana ETF Optimism Builds With Pro-Crypto SEC Leadership
Investor confidence increased after the appointment of former SEC commissioner Paul Atkins as the new Chair of the U.S. Securities and Exchange Commission. His selection prompted speculation that altcoin ETFs—potentially including one for Solana—could face regulatory review in the near future.
Data from Polymarket reflects this sentiment shift, with the probability of Solana ETF approval by 2025 rising to 81%, up from 65% earlier this year.
In March, Volatility Shares LLC launched the first U.S.-based Solana futures ETFs, SOLZ and SOLT, offering both leveraged and standard exposure.
The SEC’s approval marked a first for Solana-linked derivatives in U.S. markets.
Following the launch of these futures products, Grayscale Investments submitted an amended S-1 filing on April 4 seeking to convert its Solana Trust into a publicly listed ETF on NYSE Arca.
Solana On-Chain Metrics Point to Renewed Growth
On-chain data supports Solana’s recovery. Active addresses on the network rose by over 17% this past week, with more than 3.5 million new additions, pushing the total above 74.8 million.
That’s more than triple Binance Smart Chain’s total and nearly 10 times Ethereum’s.
Solana’s decentralized exchange (DEX) activity remains strong, with 24-hour trading volume reaching $2 billion—more than any other blockchain in the same timeframe.
The network’s utility continues to expand.
Loopscale, a traditional lending platform, recently launched on Solana, using its infrastructure to support permissionless lending and borrowing.
The platform has already processed over $750 million in loan volume and onboarded more than 50,000 users, primarily from within the Solana ecosystem.
Nick Ducoff, Solana’s head of institutional growth, has also noted growing interest from venture capital firms.
According to Ducoff, institutional investors are increasingly viewing Solana as a viable foundation for long-term Web3 infrastructure.
Descending Wedge Breakout Hints at Major Solana Upside
After a prolonged decline from the $200–$260 range to below $100, $SOL appears to be breaking out from a multi-month accumulation phase.
The recent move above the $126–$130 resistance range—previously a ceiling for price action throughout March and early April—signals a possible shift in trend.
The Relative Strength Index (RSI) has also shown multiple bullish divergences in recent months. The current reading of 54.62 suggests rising momentum as it approaches bullish levels.
If momentum continues, the next major resistance zones are around $150, $170, and ultimately the $200–$220 area.