Solana is trading at $95 at press time on Wednesday after finding support around the key technical level near $94. The price rebound comes thanks to strong institutional demand, with spot Solana Exchange Traded Funds (ETFs) recording inflows for the seventh consecutive day, hinting at a potential rally ahead. Additionally, improving sentiment in derivative markets further strengthens the bullish outlook for Solana. Strong institutional demand for SOL SOL is approaching the $100 psychological mark thanks to growing institutional demand. CoinGlass ETF data shows that spot Solana ETFs recorded inflows of $19.07 million on Tuesday, after $26.57 million the previous day. This marks the seventh straight day of positive flows since May 4. If this trend continues and intensifies, SOL may experience an upward move in the near future. On the derivatives front, the metrics also point to a bullish bias. Solana's funding rates turned positive on Tuesday, surging to 0.0041% on Wednesday. This indicates that longs are paying shorts, signaling bullish sentiment among traders. CoinGlass’ long-to-short ratio for Solana read 1.06 on Wednesday, nearing the highest level over a month. This ratio suggests that more traders are positioning themselves for a price rally, reflecting overall market optimism. The broader crypto market conditions are still bullish, and coupled with the strong institutional demand, SOL could rally higher in the near term. Solana price forecast The SOL/USD 4-hour price action remains bullish as Solana defended the $94 support level on Tuesday. At press time, SOL is trading above the $95 mark. It is holding a constructive bullish bias as it extends above the 100-day Exponential Moving Average (EMA) at roughly $93.99 and the 50-day EMA near $88.17. Solana has broken above its parallel channel at around $92.11, signaling a shift from consolidation to potential recovery. The momentum indicators point to a strong bullish shift. The Relative Strength Index (RSI) is near 60, which suggests firm bullish momentum, while the positive Moving Average Convergence Divergence (MACD) reading above zero adds to the optimism. If the bullish narrative persists, initial resistance would be seen at the 38.2% Fibonacci retracement of the latest swing around $98.53, ahead of the $108.12, its 50% retracement, and the 200-day EMA clustered near $111.23. A break above these key levels would expose the more substantial barrier at the horizontal resistance zone and 61.8% Fibonacci retracement between about $117.71 and $120.00. However, if the broader market undergoes a correction, the 100-day EMA at $93.99 and the prior channel ceiling around $92.11 would serve as the initial support levels. A daily candle close below these levels would see SOL retest lower floors at the 50-day EMA at $88.16 and the 23.6% Fibonacci retracement near $86.67. The deeper cushions at the lower channel boundary around $77.12 and the structural swing low close to $67.50 would ensure that the bullish bias remains in play in the medium term. The post Can Solana bulls push SOL above $100 after latest ETF inflows? appeared first on Invezz
