Key Highlights
Solana’s price remains stable above $135 even after 21Shares retracted its application for a SOL staking ETF. Recent derivatives data indicates that traders have added $12.5 million in bullish leverage, counteracting negative news. Furthermore, Solana ETFs saw a resurgence with $5.3 million in inflows on Friday, suggesting a shift toward a more positive market sentiment following an earlier $8.3 million outflow.
Solana Price Stabilizes Amid ETF Application Withdrawal
On Saturday, November 29, Solana’s price demonstrated resilience by staying above the $135 mark, ending the week with an approximate gain of 6%. This stability comes despite bearish sentiment surrounding the withdrawal of 21Shares’ application for a Solana staking ETF, which was attributed to difficulties in meeting regulatory requirements.
Bullish Activity Surges Despite Price Dip
Data from Coinglass revealed that while SOL’s price experienced a minor intraday decline of 1.25%, bullish traders managed to bolster the market. The open interest for Solana increased by 1.7%, indicating that speculative traders contributed $12.5 million in notional leverage to maintain the critical $135 support level. Additionally, the funding rate shifted to a positive 0.0027% over an 8-hour period, suggesting that bullish traders are willing to incur higher fees to maintain their positions. The long-to-short ratio, remaining close to 1.0, indicates that most of the new positions were established by optimistic market participants, rather than an influx of short sellers.
ETF Flows Indicate Market Resilience
Recent ETF flows further support the notion of market resilience. All actively managed Solana ETFs ended the week on a positive note, registering inflows of $5.3 million on Friday, effectively reversing the $8.3 million outflow that occurred the previous day. This outflow broke a 22-day streak of positive inflows that had followed the SEC’s approval on February 28. The return to net inflows implies that traders are optimistic about the 21Shares ETF challenges being resolved swiftly.
Future Price Outlook: Will Bulls Confirm the Wedge Breakout?
Solana continues to navigate within a clearly defined falling wedge, a pattern known for signaling potential bullish reversals when the support and resistance lines converge. A breakout is anticipated when the price manages to close above the upper trendline, which typically leads to a rally that mirrors the height of the wedge. Currently, Solana is trading in the $135–$136 range, positioned between the KC midline and lower band. A positive crossover in the MACD suggests improving trend strength and an increasing likelihood of upward movement.
Technical Projections for Solana
The daily price chart for SOLUSD indicates that if a confirmed breakout occurs above the wedge’s upper boundary near $150, there is potential for a 62.24% increase, targeting the $220 mark. Conversely, there is a downside risk of 29.13%, with a possible retest of the wedge support near $120. To validate the falling wedge structure, a daily close above $143.10 followed by a breakout above the $150–$152 range would be critical. If these conditions are met, Solana could witness an accelerated move toward the $200–$220 target.
Disclaimer
Coinspeaker is dedicated to delivering impartial and transparent news coverage. This article is designed to provide accurate and timely information but should not be regarded as financial or investment advice. Given the rapidly changing nature of market conditions, we advise readers to independently verify the information and consult with a professional before making any investment decisions based on this content.
