Solana is preparing for a breakout at $ 178

Amid growing activity on the network, analysts predict that Solana SOL $125.23 Binance-Peg SOL -0.74% Market capitalization $0.14 billion VOL. 24 hours $0.24 billion has the potential for a major breakthrough. According to experts, the price may reach $ 178 in the near future, overcoming the current resistance at $ 140. The positive sentiment on the market is supported by a number of fundamental and technical factors.

One important driver is the strong inflow of assets that migrated from Ethereum ETH $1,818.06 Bridged Ether (StarkGate) -1.30% Market capitalization $0.16 billion VOL. 24 hours $0.63 billion to Solana. Over the past month, the volume of such transactions amounted to $ 314 million, which is 463% more than the indicators of Ethereum-oriented second-tier platforms. This has significantly strengthened Solana’s total blocked value (TVL), which is traditionally seen as a positive signal for price growth.

Increased liquidity attracts new investors and increases the chances of bulls dominating the market. Analysts note that the steady inflow of assets indicates growing confidence in the Solana ecosystem, which is increasingly competing with Ethereum in the field of decentralized finance (DeFi).

From a technical perspective, the SOL price is currently hovering around $ 129. The key breakout zone is located at the level of the 20-day moving average (EMA). If it is overcome, analysts expect the price to move to the 50-day simple average (SMA) with a further target of $ 178. If the price fails to hold, a correction to $ 120 is possible, and with a further drop to support levels of $ 110 and $ 90.

On the back of the project’s fifth anniversary, institutional and retail investors are showing increasing interest in the Solana ecosystem. The DeFi and NFT areas are actively developing. Despite some fluctuations, the market remains optimistic, and the community is confident about the future.

Analyst Ali Martinez adds that Solana’s price may return to $ 140 in the near future before a possible breakout. According to his observations, SOL is moving in an ascending channel with support at $ 126 and an upper limit of $ 140. If the price breaks out of the channel, it will get an impetus for further growth to $ 178.