 ▲ Solana (SOL) |
Solana (SOL) has broken above its downward trendline, while funds in the derivatives market have surged, raising both the possibility of increased short-term volatility and further upside potential.
According to cryptocurrency media outlet Finbold on March 13 (local time), Solana signaled a technical breakout after escaping a five-week consolidation range and breaking through its descending trendline. Independent analyst Clifton Fx noted that, based on a logarithmic chart, SOL’s price moved above the downward trendline over the past 24 hours.
According to CoinMarketCap data, Solana was trading around $90 on the day, marking a gain of more than 4% over the previous 24 hours. Its market capitalization stood at approximately $50 billion. At the same time, open interest in the derivatives market surged, indicating increased investor participation.
CoinGlass data showed that open interest in Solana derivatives rose about 5% on the day to approximately $5.46 billion. An increase in open interest is generally interpreted as a sign of growing market participation and the potential for heightened price volatility ahead.
Solana’s upward momentum is being reinforced by improvements in network fundamentals. According to DeFiLlama, Solana’s total value locked (TVL) has steadily increased over the past six months, reaching about $6.917 billion as of March 13. At the same time, the network’s stablecoin market capitalization has expanded over the past year to approximately $15.64 billion.
Institutional fund flows are also supporting expectations of further gains. Data from SoSoValue indicates that U.S.-listed Solana spot ETFs recorded net inflows of about $5.58 million over the past two days, bringing total net assets to approximately $824.87 million. Analysts suggest that this growing demand could strengthen Solana’s medium-term price momentum.
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