Key Takeaways:
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Solana’s 15% surge and potential shut above the 50-week EMA sign robust bullish momentum, which beforehand led to a 515% rally in 2024.
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The $120 million in liquidity bridged to Solana displays rising community confidence.
Solana (SOL) price gained 18% this week, signaling rising bullish momentum. The altcoin is approaching a pivotal level, with a possible shut above the 50-week exponential shifting common (EMA), a degree that has traditionally catalyzed important rallies.
In March, SOL dipped beneath the 50-week EMA and briefly dropped underneath $100 on April 7. Since then, Solana has staged a robust restoration, reclaiming key EMA ranges (100W and 200W), with the 50-week EMA (blue line) now in focus.
Historical patterns reinforce a bullish outlook. In October 2023, SOL breached the 50- and 100-week EMAs, consolidating above these ranges earlier than rallying 515% by March 2024.
Notably, the relative power index (RSI) was beneath 50 throughout each intervals, mirroring the present setup, with the indicator rebounding above 50 after the 50-week EMA flipped to help. If the 50-week shifting common holds, the price targets for SOL might be between $250 and $350 by September 2025.
The day by day chart bolsters this narrative. Solana not too long ago closed above the 200-day EMA, with instant resistance at $180. A break above this degree in the coming weeks and turning the vary right into a help degree might probably ignite a parabolic rally by Q3 2025.
Related: Solana lacks ‘convincing signs’ of besting Ethereum: Sygnum
Users bridge $165 million to Solana
In the last 30 days, over $165 million in liquidity has been bridged to Solana from different blockchains, reflecting rising confidence in the community. Ethereum led with $80.4 million in transfers, adopted by Arbitrum with $44 million, per Debridge information. Base, BNB Chain, and Sonic contributed $20 million, $8 million, and $6 million, respectively.
Similarly, information from DefiLlama indicates that Solana posted the highest decentralized alternate (DEX) volumes, 3.32 billion, over the previous 24 hours. The community presently holds 28.99% of the market share amongst different chains.
With a 28.99% market share amongst competing chains, Solana’s dominance in DeFi exercise highlights its scalability and person adoption.
Currently, substantial liquidity inflows and powerful DEX volumes place Solana for a sustained price breakout.
Related: Chance of Bitcoin price highs above $110K in May increasing — Here’s why
This article doesn’t comprise funding recommendation or suggestions. Every funding and buying and selling transfer includes threat, and readers ought to conduct their very own analysis when making a call.
