SOL Tests Resistance as Institutional Inflows Keep Demand Strong

Solana's recent rally has come to an end for now, as the token's price slipped below $119 after a 22% surge over two weeks. Despite the pullback, investors remain optimistic about Solana's prospects due to growing activity on the network and institutional inflows.

The token is currently trading at $118.36, with spot exchange-traded fund (ETF) flows pointing to continued demand. In fact, spot SOL ETFs recorded their second-highest weekly inflow last week, totaling $188.22 million.

Solana has also reported record levels of stablecoin supply and real-world assets (RWAs), which could provide support for the bullish case. However, the token still needs to clear nearby resistance to extend its rise.

The next test for Solana is whether ETF demand holds up while the token challenges the $123.96 barrier. If it can break through this level, buyers may get a clearer sign that SOL's advance can resume.