Solana has recently demonstrated a significant rebound, underpinned by a confluence of strong on-chain metrics, technical breakouts, and positive market sentiment, suggesting its recovery is far more than mere speculative interest. This renewed demand paints a picture of a structural shift, potentially positioning SOL for further upside.
Anchored in Fundamentals and Price Action
The latest data reveals a compelling narrative of increased adoption and usage for Solana. Active addresses witnessed a remarkable 56% week-over-week surge, pushing to 27.1 million, while weekly transactions climbed to an impressive 515 million. This sustained network engagement provides a solid foundation for price strength, signaling genuine demand and capital rotation into the SOL ecosystem. Concurrently, Solana’s price action has confirmed a pivotal structural shift, breaking free from its multi-month regression downtrend. Buyers successfully defended the $119.8 low, pushing the price above descending resistance and reclaiming the crucial $135.5–$147.1 zone, which now acts as robust support. Maintaining higher lows around $142, the current structure strongly favors continuation, provided the $135.5 support holds firm.
Momentum and Market Sentiment Align
Further reinforcing the improving outlook, momentum indicators have turned positive, with the MACD crossing higher from negative territory and its histogram flipping positive. This shift suggests a fading of sell pressure rather than overextension, aligning perfectly with the reclaimed support levels. Derivative markets echo this confidence, as top traders on platforms like Binance show a significant long bias with a Long/Short Ratio of 3.17, indicating growing conviction without reaching overleveraged conditions. Moreover, the Hyperliquid Liquidation Map highlights a substantial "upside magnet" of dense short-side liquidity above current prices, notably around $153, $201, and even stretching towards $300+. This imbalance creates potential for accelerated momentum through forced short liquidations if the price continues its ascent, while thin long liquidations below reduce downside cascade risks. Collectively, the alignment of robust network activity, a confirmed technical breakout, positive momentum, long-leaning derivatives positioning, and favorable liquidation dynamics suggests Solana's rebound is structurally sound. The $135.5 support level remains a critical determinant for whether this momentum extends or pauses for consolidation.
