SOL Gains 2.5% As Institutional Interest and Network Activity Rise

• Solana (SOL) rose 2.5% in the last 24 hours while the broader crypto market remained flat according to Yahoo Finance.
• Network activity on Solana showed strong metrics, including $32.5 million in SOL liquidations and 78 million transactions, highlighting sustained usage according to Yahoo Finance.
• Institutional adoption is growing, with Morgan Stanley filing for ETFs linked to Bitcoin and Solana, signaling increased legitimacy and potential for retail investor access according to Yahoo Finance.

Solana's price rose 2.5% over the last 24 hours, trading near $145 on January 14, while the broader crypto market experienced a slight decline according to Yahoo Finance. This outperformance came as Solana's futures open interest reached $8.7 billion and decentralized exchange volume hit $4.69 billion according to Yahoo Finance. Analysts are closely watching whether Solana can break through the $145 resistance level, a critical threshold for bullish momentum according to Yahoo Finance.

The growing adoption of Solana is evident from both on-chain data and institutional activity. The network recorded 2.84 million active addresses and 78 million transactions, demonstrating continued user engagement . Morgan Stanley's recent ETF filings suggest institutional confidence in Solana as a long-term asset according to Yahoo Finance. Analysts view these developments as signs of broader market acceptance and potential for sustained growth.

Despite the positive momentum, risks remain. Solana is forming an ascending wedge near $144, which could signal a bearish breakdown to $129 if the pattern resolves according to AInvest. On-chain metrics show mixed signals, with strong growth in new addresses but weakening buying pressure from long-term holders according to AInvest. Institutional inflows and high trading volumes indicate optimism, but investors must remain cautious as technical patterns and market sentiment can shift quickly.

What Drives Institutional Interest in Solana?

Institutional investors are increasingly allocating capital to Solana, with Morgan Stanley recently filing for ETFs that include Solana alongside Bitcoin . This move reflects growing confidence in Solana's infrastructure and scalability, particularly its high transaction speeds and low costs, which are critical for stablecoin and real-world asset (RWA) tokenization according to Yahoo Finance. Analysts view Solana's growing ecosystem and developer activity as long-term value drivers for institutional portfolios according to Yahoo Finance.

The technical advantages of Solana have been a major draw. Its average of 1,000 transactions per second (TPS) and ability to process up to 100,000 TPS in test runs position it as a strong Layer-1 blockchain for high-volume use cases according to Yahoo Finance. The Alpenglow upgrade is expected to further enhance its efficiency and reliability, making it more attractive for institutional-grade applications according to Yahoo Finance. These improvements align with the growing demand for fast and cost-effective blockchain infrastructure in both crypto and traditional financial markets according to Yahoo Finance.

What Risks Lurk in Solana's Price Action?

Solana's recent price pattern forms an ascending wedge near $144, which could signal a potential 9.5% decline to $129 if bearish conditions persist according to AInvest. This pattern has historically been associated with price corrections, especially when coupled with weakening on-chain buying pressure from long-term holders according to AInvest. Analysts caution that a breakdown below $140.41 could trigger further losses, testing key support levels like the 20-day SMA at $137.34 according to Yahoo Finance.

While Solana has shown strong fundamentals, including a 56% weekly increase in active addresses and 8 million new accounts in 24 hours, market sentiment remains fragile according to AInvest. ETF inflows reached $750 million in Q4 2025, but this came despite a 26.5% price decline, highlighting the disconnect between institutional confidence and retail price action according to AInvest. Investors must monitor both on-chain data and technical indicators to gauge the likelihood of a sustained breakout or continued consolidation.

How Does Solana Compare to Other Blockchains for Tokenization?

Solana is gaining traction as a preferred blockchain for stablecoin and real-world asset (RWA) tokenization due to its high-speed processing and low costs according to Yahoo Finance. It has already captured 4.5% of the stablecoin and RWA market and could benefit from the projected $4 trillion expansion in tokenization according to Yahoo Finance. Deutsche Bank estimates that U.S.-backed stablecoins alone could reach $2 trillion in value, with additional potential from RWA tokenization according to Yahoo Finance.

Compared to other blockchains, Solana's performance in processing speed is competitive. Its average of 1,000 TPS and test runs at 100,000 TPS position it favorably against traditional payment networks like Mastercard according to Yahoo Finance. The Alpenglow upgrade is expected to further solidify its position as a top choice for tokenization use cases, especially as more institutions look to tokenize assets on-chain according to Yahoo Finance. These developments highlight Solana's potential to capture a larger share of the growing tokenization market.