Solana has lost 10% in June, but 3 factors suggest a rally to $187 before the month is out.
Solana (SOL) is down about 10% this month from its opening price of $156. As of June 27, Solana is trading at $140 with an intraday loss of 3.45%. Despite the bearish pressure, three factors suggest that $SOL could explode soon. Let’s find out.
Key reasons why Solana price could explode before the end of June
Solana price could see a sharp rally in the coming days, as three key factors including on-chain and macro factors suggest that bulls are about to regain control. These include:
Spot SOL ETFs
DEX Volume Increases
Government Adoption of Solana Blockchain
Spot SOL ETF Filings Signal Institutional Interest
The biggest reason for Solana’s price surge before the end of June is the increase in institutional interest seen with the spot $SOL ETF filings.Invesco Galaxy filed an S-1 for a SOL ETF, joining other top firms like VanEck, BitWise, and 21Shares.
The recent filing coincides with increasing approval odds. According to Polymarket data, the product has a 91% chance of approval before the end of the year, and has been at the top of the range since a significant increase. Meanwhile, 46% of traders are also optimistic that the product could be approved next month.
Growing DEX volumes signal institutional interest.
Data from DeFiLlama shows that SOL currently ranks second in decentralized exchange (DEX) volume, which could bode well for Solana's price.
Over the past 30 days, DEX volume reached $64 billion, surpassing Ethereum’s $61 billion. BNB Chain leads the 30-day DEX volume with $159 billion.
This growth suggests that there are bullish catalysts in SOL's price that could support a recovery even as memecoin activity fades. As this volume increases to increase SOL's utility, the price could be poised for significant gains.
Government Taps Solana Blockchain
The state of Wyoming is also tapping the SOL blockchain for a stablecoin project, and that bodes well for the SOL price. Wyoming will tap Solana and Aptos to launch the state-backed WYST stablecoin.
This adoption supports a bullish outlook for Solana before the end of the month. As confidence towards SOL due to such moves, the buyers could go ahead and trigger a significant rally in the next three days.
Key levels to watch in Solana price.
As bullish factors align around the $SOL price forecast, technical indicators and Fibonacci extensions provide key levels to watch for an explosive rally in June. The first level is at the 61.8% Fibonacci at $152, which Solana price needs to reverse into support to pave the way for a bull run.
The 50-day SMA level of $159 is also acting as a key resistance level, with past data showing that whenever Solana's price breaks through this level and makes a decisive move above it, a rally emerges. The same trend was also seen when SOL crossed the 200-day SMA in Q4 2024.
These are two key levels that traders should watch as they could trigger the next bull run. If institutional interest, retail activity, and adoption help trigger a rally and these resistance levels are reversed, Solana could charge $187.
Nevertheless, while a short rally to $187 is likely, Solana may not reclaim $200 anytime soon as the RSI shows that buy-side pressure is weak.
With a reading of 43, this indicator shows that the momentum behind SOL's price action is bearish.
So, while there are three catalysts likely to push Solana prices higher in June, traders should keep an eye on the key resistance levels of $152 and $159. If SOL can break through these levels, it could start a strong rally to the upside.
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