Solana News Today: Solana's $SOL Marches Toward $1,000 as On-Chain Activity Falters

Solana’s decentralized exchange (DEX) ecosystem has reached a significant milestone, surpassing 750 million unique addresses, according to recent on-chain data. This development comes amid growing optimism for the Solana network, as the native token $SOL trades near key resistance levels. Market participants are closely watching whether the price can break through the $210 threshold, a level analysts see as a precursor to a potential rally toward $260 and beyond.

The price of $SOL has shown a strong rebound since dipping to $155 in early August, with the token posting a 36% recovery to an intraday high of $210. Technical indicators suggest that if the $210 to $250 resistance zone is broken, $SOL could target $1,000, according to chart analysis from Cointelegraph Markets Pro and TradingView. The token’s weekly chart displays a bullish megaphone pattern, which historically has led to parabolic price surges after a confirmed breakout above the upper boundary. A breakout above $330 could position $SOL for a move toward $1,057, or a 400% gain from the current level. The relative strength index has climbed from 49 to 61 since early August, reinforcing the idea that bullish momentum is gaining traction.

In addition to favorable technicals, Solana’s open interest (OI) has reached a record high of $13.68 billion in futures markets, signaling robust speculative interest from derivatives traders. This surge coincides with the recent approval of the Alpenglow upgrade, which slashed transaction finality to 150ms and boosted throughput to 107,540 TPS. The upgrade, which passed with 98.27% support, is expected to enhance Solana’s appeal to institutional investors and decentralized finance (DeFi) developers, potentially driving the token to new all-time highs in 2025.

However, despite the bullish price action and strong OI figures, Solana’s onchain activity has shown signs of weakness. Over the past 30 days, the network’s transaction volume has dropped by 99%, and the number of active addresses has fallen by 22%. In contrast, Ethereum’s transaction count increased by 39% during the same period. DeFiLlama data also revealed a 65% decline in Solana’s weekly DEX volumes to $10.673 billion, raising concerns about the sustainability of the current price rally. These figures highlight a potential disconnect between Solana’s price performance and actual network usage.

Crypto analyst Gally Sama noted in an X post that Solana’s weekly chart has formed a “bullish multimonth setup,” often associated with strong price moves. “Target remains $1,000 for $SOL once we break out of this range,” Sama stated, adding that breaking above $210 is essential for confirming the upward trend. Analysts are also watching Fibonacci retracement levels, which suggest a potential target of $1,030 should the price move past key resistance.

While technical and speculative indicators remain positive, the divergence between price and onchain metrics raises questions about the network’s long-term fundamentals. Solana’s DeFi ecosystem, despite holding $12 billion in total value locked (TVL), has not seen a proportional increase in transaction activity. This trend could pose a challenge for sustained price appreciation, particularly as alternative blockchains continue to gain traction.

Source:

[1] Solana Charts $1,000 SOL Price Target, Open Interest All-time Highs (https://cointelegraph.com/news/solana-charts-1000-sol-price-target-open-interest-all-time-highs)

[2] Solana On-Chain Data and Charts for Transactions, Fees ... (https://www.theblock.co/data/on-chain-metrics/solana)