Solana Stalls Near $125 as ETF Inflows Plunge 98.7% Despite Record Network Activity

Solana (SOL) is trading at $120.20, showing a slight decline of 0.3% to 1.2% over 24 hours. Despite this drop, the token has seen a 41% increase in turnover, reaching roughly $2 billion. The price remains near the $120 level it has held since late September, staying 4% below the $124.62 to $125 resistance zone that halted its previous rally.

While institutional demand has waned significantly, network activity is booming. On October 3, Solana processed $3.06 billion in spot trading on its decentralized exchanges, surpassing Ethereum's main network and other chains. The network also saw a record $4.4 billion in tokenized stocks traded in September. Additionally, a major U.S. payments processor launched its stablecoin platform on Solana, and the Alpenglow upgrade, which aims to reduce transaction finality to 150 milliseconds, is undergoing testing ahead of a potential mainnet launch this month.

Institutional interest has dwindled, with U.S. spot Solana ETFs taking in just $2.43 million last week, down 98.7% from the previous week's record $188.22 million. This drop has contributed to the token's sideways movement, as it struggles to break above the $125 resistance. However, the chart remains constructive, with Solana trading above major moving averages and within a rising channel that suggests potential targets of $135 and $148 if it can close above $125.

The broader macroeconomic environment presents a mild headwind, with U.S. service-sector prices rising to a four-year high, lifting short-term Treasury yields. Bitcoin also faced resistance near $87,000. Despite these challenges, Solana's recovery from a mid-year low of $62 to its current price of $125 highlights its resilience, though further gains may depend on renewed ETF demand or a confirmed Alpenglow launch date.