Solana Surges as Inactive Wallets Come Back to Life and ETF Flows Soar
Solana (SOL) has been on a tear lately, gaining 12% over the last month and trading around $77. This growth is not limited to price appreciation, as daily transaction volumes have stabilized after a recent surge.
The cryptocurrency market seems to be consolidating following its recent advance, with SOL being one of the strongest performers among the top five cryptocurrencies by market capitalization.
A significant catalyst for Solana's growth is the increase in inactive wallet activity on decentralized exchanges, which jumped 400% week-over-week. Additionally, ETF capital flows reached a two-week peak, with BSOL attracting $5.83 million on July 21.
The stablecoin reserves on Solana's network have also achieved a fresh record high of $17 billion. Digital asset analyst Michaël van de Poppe believes SOL is 'holding the range low' and forecasted it's 'just a matter of time' before the cryptocurrency accelerates toward the $120 threshold.
SOL must establish a close above the critical resistance level of $97.89 to transform its market structure from bearish to bullish. Trading beneath this threshold maintains the technically bearish pattern, but analysts are targeting the $90, $95 zone as the subsequent objective if SOL pierces through the $78 resistance barrier.