SOL has recently exhibited strong bullish pressure. After hitting a low of $69, the altcoin defended $70 and climbed to a local high of $73 before slightly retracing.
In fact, as of this writing, Solana [SOL] traded at $72 after gaining 2.6% over the past day. At the same time, the altcoin’s trading volume rose 39%, indicating strong market participation.
What do Solana’s charts reveal?
Solana held above its 9-day and 21-day Moving Averages, reinforcing its bullish market structure. That move signaled strengthening short-term momentum.
The altcoin’s momentum indicators also supported this trend. The Stochastic Momentum Index (SMI) formed a bullish crossover two days ago.
Since then, the SMI has climbed to 27, remaining just below the 30 threshold. This continued upward trajectory suggested improving market conditions.
Together, the Moving Averages and SMI pointed to sustained bullish momentum. A move above 30 on the SMI could confirm the trend’s strength, potentially opening the door to further gains.
Is whale sentiment shift the driving force?
Solana’s renewed strength seems largely driven by a shift in sentiment among whales. Whale activity on the spot market has remained steady over the past week.
CryptoQuant’s Spot Average Order Size data showed large whale orders concentrated around the $70 and $71 price levels.
These orders suggest that, at these levels, whales have increased participation in either buying or selling. Interestingly, the jump in whale orders has coincided with a significant jump in exchange outflows.
In fact, CoinGlass data showed that Solana Spot Netflow has remained negative over the past three days. Over the last week, Netflow recorded a positive value once.
At press time, Spot Netflows stood at -$112k, improving from -$1.7 million recorded the previous day. A negative Spot Netflow suggested whales were primarily accumulating SOL.
Can SOL extend its rally?
Solana maintained bullish momentum, supported by renewed whale demand. That could keep buyers in control if accumulation continues.
Therefore, if demand continues absorbing selling pressure, SOL could reclaim $75 and target the $80 resistance over the short to medium term.
However, if whale demand weakens, Solana could fall below $70 again, with $62 serving as the next key support.
Final Summary
- Solana gained 2.6% after defending $70 and reaching a local high of $73 before easing slightly.
- Renewed whale accumulation and improving momentum indicators could support a move toward $80 if demand persists.
