Solana Surges Past $90 as Institutional Demand and Liquidity Expectations Boost Price

Solana's price has surged past $90 as improved liquidity expectations and stronger institutional demand drive up its value.

The token reached an intraday high of $91.0 on Friday, with a weekly rally exceeding 19%. This increase follows the US Treasury Department's announcement to expand debt buyback operations, which helped ease concerns about market liquidity and increased investor appetite for risk-sensitive assets.

Fresh inflows into Solana exchange-traded funds (ETFs) also indicate growing interest from institutional investors. According to CoinGlass data, spot Solana ETFs attracted $14.60 million in net inflows on Thursday, marking their largest single-day intake since the end of July and representing the third consecutive day of positive ETF flows.

Solana now faces a crucial technical resistance level near its 200-day exponential moving average at $89.28. A sustained move above this level could strengthen the bullish outlook and open the door to the next major resistance area near $96.19, representing an additional gain of approximately 7.9%.

However, some technical indicators suggest Solana's rally may be becoming stretched, with the relative strength index near 79, placing it firmly in overbought territory and increasing the possibility of a short-term pullback or consolidation.