Important points
What’s driving Solana’s recent bullish momentum?
Strong institutional inflows into newly created spot ETFs and a rebound from key support levels are fueling the rally.
Could Solana’s price continue to rise in the short term?
If ETF inflows continue and technical indicators hold, SOL could approach the psychological barrier of $200.
Ms. Solana [SOL] Institutional investor demand is heating up again. The U.S.-listed Solana Spot ETF recorded $9.7 million in inflows over the past 24 hours, another strong day for the newly launched fund.
According to Farside’s latest report, BitwiseInvest’s BSOL raised $7.5 million and Grayscale’s $GSOL raised $2.2 million.
The two leading Solana Spot ETFs have attracted a combined $294 million in inflows since their debut, which is a remarkable start for a non-Bitcoin and non-Ethereum crypto ETF.
Source: Farside
Solana’s technical indicators also point to a possible continuation of the bullish momentum.
On the daily price chart, Solana’s bull market was gaining momentum. The bullish momentum came shortly after the token price rebounded from a major support zone around $150.
This rebound coincides with today’s ETF inflows, suggesting that institutional accumulation may be cushioning the price decline.
At the same time, as of this writing, the token’s stochastic RSI has rebounded from oversold territory, indicating that the altcoin’s bullish momentum may continue for some time.
Solana’s positive on-chain and technical indicator alignment solidifies the bullish bias.
Source: TradingView
Solana’s on-chain metrics show increased volatility
Looking at the derivatives market, Solana’s funding rate was -0.179 at the time of writing. This negative rate indicates that long position holders are paying to keep their positions open, indicating strong conviction and increasing the bullish bias of the token.
At the same time, the total amount of short-term liquidations surged to $2.636 million in the past 24 hours, according to Coinalyze. This suggests that short sellers are being squeezed as prices rebound, which often portends further upside.
Negative funding rates and an increase in short-term liquidations may indicate the early stages of a change in sentiment as bearish traders begin to exit positions.
Source: CoinAnalyze
Can inflows from institutional investors maintain their bullish momentum?
The big question among Solana investors and traders now is whether Solana can translate this institutional support into sustained price gains.
If inflows continue at this pace, the network could see another round of bullish energy heading into November, especially if the broader crypto market stabilizes.
On the daily chart, the impact is clear as SOL price is gaining bullish momentum and the next psychological barrier is $200.