Solana Bulls Eye $125 as Price Bounces Back

Solana's price has been showing a bullish trend despite recent market pullbacks. The altcoin jumped to its January levels, hitting $110, driven by Charles Schwab's plans to incorporate SOL. However, this pump proved short-lived as Solana retraced to a daily low of $105.

The volatility in the market sparked a wave of liquidations for both short and long positions. According to Coinglass, over $30.35 million worth of short positions were liquidated as prices jumped, while $8.9 million worth of longs were liquidated.

Despite rising volatility and subsequent liquidations, traders have continued to deploy massive capital in opening new positions. Solana's Open Interest rose by 10.4% to $7.54 billion, while the derivatives volume surged by 69% to $17.27 billion.

Some investors are still skeptical, with holders increasing spending significantly and turning to profit realization. However, this trend suggests that sellers may be getting exhausted and buyers might be stepping in, often preceding major price moves to the upside.