Solana (SOL) has struggled to regain its footing after several failed recovery attempts over the past few days. While the altcoin has avoided forming new lower lows, it remains confined within a bearish setup.
However, improving on-chain metrics and technical signals suggest a potential shift in sentiment that may soon favor the bulls.
Solana Holders Surge
Solana’s network activity shows encouraging signs of growth, with new wallet addresses rising notably in recent days. This uptick indicates renewed investor interest and expanding participation in the ecosystem. When new addresses surge, it often reflects growing confidence in the network’s utility and long-term prospects, both essential for sustained price growth.
The current increase in new address creation marks a monthly high for Solana, underlining strong network fundamentals despite price stagnation. If this momentum continues, SOL could see increased liquidity and greater market demand.
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Solana New Addresses. Source: Glassnode
From a technical perspective, Solana’s Moving Average Convergence Divergence (MACD) indicator is inching closer to a bullish crossover. The MACD line nearing the signal line suggests that downward momentum is weakening. If the crossover is confirmed, it would signal a potential reversal and mark a turning point in SOL’s price trajectory.
A confirmed bullish crossover often leads to renewed optimism among traders and investors. Such momentum shifts can attract short-term speculators seeking to capitalize on price swings while reinforcing long-term confidence.
Solana MACD. Source: TradingView
SOL Price May Be Looking At A Rise
Solana’s price stands at $187 at the time of writing, holding firm above the $183 support level. The altcoin remains range-bound, struggling to break through the key $192 resistance. However, price stability above support suggests growing resilience in the face of selling pressure.
If Solana’s bullish indicators gain traction, the price could climb past $192 and target $200 or higher. Strengthening support levels combined with improving investor sentiment could help SOL establish a sustainable uptrend.
Solana Price Analysis. Source: TradingView
Conversely, if momentum fails to build, Solana may drop below $183 to test $175. A further decline could extend losses toward $163. This would effectively invalidating the bullish outlook and signaling continued market weakness.
