Solana is surging! ETF capital inflow is increasing, and bulls are dominating the market
#solana Recent performance of (SOL) has been quite impressive, benefiting from ETF capital inflow and trader position adjustments, with prices rising steadily and market bullish sentiment significantly warming up. According to CoinMarketCap data, #sol the trading price increased by 12.05% on that day, reaching $142, bringing Solana closer to a crucial neckline pattern in technical analysis.
ETF capital is flowing strongly, and Wall Street investors remain optimistic
The rise of SOL is not only due to market sentiment but also relies on the support of ETFs. On December 1, Solana spot ETF saw capital outflow, but immediately on December 2, net inflow reached as high as $45,770,000, indicating that investor interest in Solana ETFs continues to heat up.
The inflow of these funds has directly boosted market sentiment, giving bullish traders more confidence to continue betting on price increases. The liquidity of ETFs not only supports the spot market but also injects more vitality into the derivatives market.
Open interest has surged, further enhancing market momentum.
CoinGlass data shows that in the past 24 hours, the open interest (OI) of SOL has increased by 10.61%, reaching a total of $7.4 billion. An increase in OI usually indicates that more funds are entering the market and suggests that the market remains optimistic about price increases.
This phenomenon shows that bullish traders are actively increasing their positions, betting on the trend that prices will not easily drop. As funds continue to flow in, the short-term upward trend may continue.
A daily double bottom pattern is forming, with considerable potential for upward movement.
From a technical analysis perspective, a double bottom pattern is forming on the daily chart of SOL, with the price currently hovering near the neckline. If the daily closing price can break above $145, it is expected to trigger a steady increase, with a target price of around $169, an increase of about 16%.
The double bottom pattern is one of the reversal signals that the market is paying close attention to, which means that as long as the price remains above the key support level, the rebound potential still exists, providing important reference for investors to observe market conditions.
Bulls dominate the market, and key support levels are solid.
Trading data shows that bullish traders currently dominate the market. The main liquidation points for intraday trading are at $137.50 (lower limit) and $144.50 (upper limit). As of the time of writing, traders have established $210.97 million in bullish positions, while bearish positions amount to $87.74 million.
This indicates that traders are quite confident about SOL's short-term trend, generally believing that the price is unlikely to drop below $137.50 anytime soon. As long as the support holds, bullish forces will continue to push the market higher.
Future Outlook: The Possibility of Hitting Higher Price Levels
In addition to ETF funds and bullish positions providing support, the technical aspects have also given positive signals to the market. A cryptocurrency analyst pointed out on the X forum that SOL has strongly rebounded from the weekly support level and the exponential moving average (EMA), and the forming pattern may push it up to $160-200 in the coming days.
This means that as long as the price remains above the key support level and is accompanied by sustained market participation, Solana's upward momentum remains considerable.
Final Summary
An inflow of $45.77 million in ETF funds has provided ample momentum for Solana's rebound, also boosting sentiment in the derivatives market. Bullish positions dominate, key support levels are solid, and the technical double bottom pattern is forming. As long as the price stays above $137.50, the short-term upside potential remains, and SOL's rebound trend is expected to continue, providing investors with opportunities to watch.
