Key Highlights
- Solana (SOL) price has witnessed a spike of around 7%, climbing to $94.41 following the spike in Bitcoin (BTC) value
- This upgrade momentum in the SOL was seen after positive inflows in ETFs last week
- The blockchain network is constantly expanding its ecosystem with new upgrades while increasing its stablecoin share with the new issuance of USDC
On Monday, Solana (SOL) price gained major momentum, thanks to the rally in Bitcoin (BTC) price, helping the SOL to soar by 7% on a daily chart. This spike in the seventh-largest cryptocurrency was seen after Bitcoin soared above $74,000.
While writing this, Solana’s price is revolving around $94.41 with a market capitalization of $53.94 billion. In the last 24 hours, the daily trading volume also jumped by 164.35% and currently revolves around $5.57 billion, according to CoinMarketCap.
Solana Gains Momentum as Bitcoin Rallies and Ecosystem Grows
According to Coinglass, Solana exchange-traded funds (ETFs) gained a streak of positive inflows. On March 13, it witnessed net inflows of $7.60 million. Similarly, on March 11 and March 12, it accumulated $1.7 million and $3.9 million in inflows, respectively. These constant inflows in SOL ETFs played a major role in creating upward momentum, along with stability in the cryptocurrency.
(Source: Coinglass)
The circulating supply is approximately 571.36 million tokens. However, the current Solana price is still below its all-time high at $293.31, created on January 19, 2025.
According to Tradingview, the overall rating is showing a “strong buy” signal. This is supported by all 12 moving averages being bullish, while technical indicators show 6 buys and only 1 sell. According to the 14-day Relative Strength Index, or RSI, it is at 58.39, which clearly shows that SOL is in a bullish momentum and buyers are in control.
The Moving Average Convergence Divergence (MACD) is at plus 0.78, which is also giving a buy signal. All in all, most indicators are giving a buy signal for SOL and showing a bullish momentum in the cryptocurrency.
According to the recent data, SOL has been in the consolidating zone for about a month between support at $78.35 and resistance at $92.11. The 50-day exponential moving average (EMA), which is declining at $94.17, is working as a cap on further upside.
Not just Solana, the overall crypto market has rebounded despite the energy-based crunch in the global financial market. Amid the ongoing war in the Middle East between Israel, the U.S., and Iran, the fuel price per barrel has skyrocketed after being blocked over the Strait of Hormuz.
However, the crypto market has shown an impressive resilience in this adverse condition. After locking up between consolidation zones last week, the Bitcoin price achieved a major psychological resistance level at $70,000.
Apart from the technical indicators, the Solana ecosystem is also rapidly growing along with new upgrades, which provide it with fresh liquidity.
In the last 7 days, Circle, the stablecoin issuer of USDC, minted approximately 2 billion USDC on the Solana blockchain according to on-chain data. This issuance has increased the blockchain’s share of total USDC supply to approximately 12%, which is roughly around $8.4 billion.
This issuance of new USDC stablecoin is part of Circle’s continuous issuance of more than $8 billion since February. This is expected to boost DeFi liquidity for activities like trading, lending, and payments on the network.
Apart from this, new upgrades like Alpenglow are expected to take place on the blockchain network. This will cut latency and enhance security.
Also Read: Ripple ($XRP) Price Breaks $1.40 as XRPL Updates, Market Rally Push Surge
