$SOL 12.4% price surge to $201.40 aligns with altcoin season momentum, bullish technicals, and ecosystem upgrades like Jito’s BAM launch.

Altcoin rotation drives capital into SOL as Bitcoin dominance drops 5.8% weekly

Jito’s Block Assembly Marketplace launch boosts network efficiency

Technical breakout above $181.90 Fibonacci level triggers momentum

Deep Dive

1. Primary catalyst: Altcoin season momentum

The Altcoin Season Index hit 55 on July 22 , signaling capital rotation from Bitcoin to higher-beta assets. SOL’s 24h volume surged 99.85% to $12.26B as traders chased relative value – SOL remains 32% below its Jan 2025 ATH ($295) while BTC trades near its $123K peak.

Bitfinex analysts note $85B flowed into “Others” (non-top 10 coins) this week (TokenPost), with SOL benefiting from its position as the #2 chain by DEX volume ($22.7B weekly).

2. Technical context: Bullish confirmation

MACD histogram at +3.25 (bullish momentum)

RSI14 at 79.69 (approaching overbought but not extreme)

Price cleared $181.90 Fibonacci level (23.6% retracement from $198.92 swing high)

Next resistance at $218.52 (127.2% extension) if buying persists

The 24h rally saw $34.59M SOL shorts liquidated, forcing bears to cover positions.

Conclusion

SOL’s surge combines sector rotation tailwinds with improving network fundamentals and technical momentum. While overbought signals suggest potential consolidation, the $200–$218 zone becomes critical for sustaining bullish momentum.

Watch: Can SOL maintain its 28% DEX market share against Ethereum’s resurgence in institutional flows?

#solana #SoftStaking