Solana News Today: Solana’s $1,000 Gamble: Can Bulls Break the Final Barrier?

Solana (SOL) is currently holding above the $208 level, with bulls aiming to break through the $216–$225 resistance zone to potentially continue the upward trend. The price has recovered over 36% since dropping to $155 on August 3, reaching an intraday high of $210. This rebound aligns with bullish technical indicators suggesting that a $1,000 price target is still in play if the price can break out of the $210–$250 resistance range [1].

On the weekly chart, Solana’s price action has formed a bullish megaphone pattern — also known as a broadening wedge — which is characterized by a series of higher highs and lower lows. If the price breaks above the upper trend line, it could trigger a parabolic rise. The pattern suggests a potential target of $1,057, representing a 400% increase from current levels [1]. Additionally, the relative strength index (RSI) has climbed from 49 to 61 since early August, signaling a steady buildup of bullish momentum [1].

Further analysis of the weekly chart reveals that Solana has broken out of a cup-and-handle pattern, with the price still above the $160 upper boundary of the cup’s handle. Bulls are now focused on pushing the price above the $250 neckline to continue the upward move. Fibonacci retracement analysis suggests that if the pattern completes, Solana could rise as high as $1,030 [1]. Analyst Gally Sama has also commented that a breakout could lead to a $1,000 price target for SOL [1].

Solana’s open interest (OI) has surged to an all-time high of $13.68 billion, according to data from CoinGlass, signaling strong speculative interest in the derivatives market. High OI often precedes major price moves, as seen earlier this year when a 188% increase in OI was followed by a 103% increase in the price of SOL [1]. The rise in open interest coincides with the approval of the Alpenglow upgrade, which slashed Solana’s transaction finality from 12.8 seconds to 150ms and boosted throughput to 107,540 transactions per second. This upgrade has been approved with 98.27% support and is expected to enhance Solana’s competitiveness against Ethereum [1].

However, on-chain metrics paint a less optimistic picture. Despite a $12 billion total value locked (TVL) in Solana’s DeFi ecosystem, the network’s activity has not scaled proportionally with its price gains. Over the past 30 days, Solana’s transaction count has dropped by 99%, and the number of active addresses has fallen by 22%, according to Nansen. In contrast, Ethereum saw a 39% increase in transactions during the same period [1]. Decentralized exchange (DEX) activity on Solana has also declined, with weekly DEX volumes falling by 65% to $10.673 billion, according to DefiLlama [1].

Looking ahead, Solana faces a critical juncture. If the price can break above the $216–$225 resistance zone and maintain its momentum, it could set the stage for a significant move toward $250 and beyond. Institutional adoption, DeFi growth, and the success of upcoming upgrades will play pivotal roles in determining whether Solana can maintain its position as a top-performing asset in the crypto market.

Source:

[1] Solana Open Interest Hits $13B All-time High (https://cointelegraph.com/news/solana-charts-1000-sol-price-target-open-interest-all-time-highs)

[2] Solana vs Ethereum: Which One Will Dominate in 2025? (https://coindoo.com/solana-vs-ethereum-which-one-will-dominate-in-2025-price-predictions-upgrades-investor-outlook/)

[3] Why Solana Is My Top Crypto Pick Right Now (https://medium.com/@blendvisions/why-solana-is-my-top-crypto-pick-right-now-the-case-for-sol-over-eth-439893c1eaac)