Solana (SOL) surged today, breaking the $163 barrier with a gain of over 10% within 24 hours, as market sentiment continues to heat up. With both fundamentals and technicals strengthening simultaneously, SOL is expected to challenge the next key resistance level of $220 in the short term.
Technical Analysis: Bullish flag target aimed at $220
From the daily chart perspective, SOL is in a typical 'bullish flag' formation, which has often signaled a significant rise in the past. Based on the height of the flag and the breakout point's technical prediction, the target price is around $220, which aligns with Cointelegraph's recent analysis.
At the same time, the market capitalization of SOL stablecoins has exceeded $1.3 billion, indicating active on-chain funds and a significant increase in capital inflow, providing strong support for the price.
Fundamentals: Capital and institutions are increasing their positions simultaneously
Not only is the technical outlook optimistic, but the fundamentals are also equally strong. The crypto asset management firm DeFi Development Corp. recently increased its holdings by over 20,000 SOL, while Canada’s SOL Strategies made a significant investment of $18 million, with an average cost around $148. The low-position building and staking strategy by institutions shows high confidence in the long-term value of SOL.
Additionally, Canadian regulatory authorities have approved 4 Solana spot ETFs and allowed staking, providing a convenient channel for institutional funds to enter. In the US, traditional financial giant Franklin Templeton has also submitted a Solana ETF application to the SEC, indicating that SOL has transformed from a public chain star to a component of mainstream asset allocation.
Conclusion: After breaking $170, the target is set at $220
Considering the comprehensive technical trends and favorable fundamentals, if SOL can stabilize above $170 and break through with volume, it is expected to open up a new round of upward space towards $200-$220. Short-term support is focused on $150; if it holds, the upward momentum will continue to ferment.
