Solana Price Stability Amid Rising Activity and Technical Positive Indicators

Solana’s price has stabilised above key support, witnessing significant increases in active addresses, fees, and DEX volumes. The price reached $135, culminating in a market cap close to $70 billion. Additionally, active addresses surged by 17%, with transaction volumes and network fees reaching new heights. Technical indicators also point to potential price gains, aiming for levels near $150, while support remains critical at $120.

Solana’s price has shown resilience this week, maintaining stability above crucial support levels while active addresses, transaction fees, and decentralized exchange activity surged. On Friday, Solana (SOL) reached a price of $135, marking a more than 40% increase from earlier this month’s low and elevating its market capitalisation close to $70 billion.

The trading volume across Solana’s decentralised exchange protocols displayed significant growth, with a 24-hour volume recorded at $2.27 billion, surpassing Ethereum’s $1.52 billion. Weekly trading volume also highlighted Solana’s strength, totalling $16.14 billion compared to Ethereum’s $12.36 billion and Binance Smart Chain’s $6.5 billion.

Data from Nansen revealed a 17% increase in active addresses over the past week, reaching 29 million. For context, Tron recorded 5.9 million addresses, Ethereum had 1.86 million, and Binance Smart Chain noted 4.9 million addresses. Additionally, the number of transactions on Solana surged to 374 million, outperforming all other blockchains combined, with net fees generated exceeding $7.67 million, a 42% rise from last week.

Numerous tokens within the Solana ecosystem also witnessed price appreciation, with Pudgy Penguins rising by 12% and Popcat (POPCAT) gaining 10%. Moreover, American real estate tech firm Janover expanded its investments in Solana, purchasing $10 million worth of SOL, now holding a total of $21 million.

From a technical analysis perspective, the SOL price, which hit a low of $94.65 earlier this month, rebounded to $135 and has thus far maintained its position above the key support level of $120. Technical indicators, including the MACD and Relative Strength Index (RSI), reflect a bullish trend, with the RSI exceeding the neutral mark of 50 and the MACD nearing a positive crossover. This trend suggests potential upward movement towards the psychological threshold of $150, representing a possible 12% increase.

Should the price reach $150, market observers will look towards a critical resistance level at $170, previously noted as January’s lowest mark. Conversely, any decline below the support level of $120 would signal a bearish reversal of the current bullish sentiment.