The Solana (SOL) network recently achieved a transaction volume of $3 billion, a figure not seen since September 2024. However, the token's price has not matched this growth yet.
Solana's Price Struggles Amid High Volume
As of press time, Solana's price is $125.52, showing a slight increase of 0.40% over the past day, with trading volume increasing by 26.63%. Analysts suggest a triple bottom pattern might be forming, indicating a potential shift from a downtrend to an uptrend. The support zone at $110.64 has repeatedly held under pressure, suggesting a possible price rebound.
Technical Analysis Showing a Downtrend
Daily charts indicate that Solana's price is in a downtrend, having declined from previous levels close to $280. The current price remains below key moving averages: the 50-day, 100-day, and 200-day, underscoring a bearish market sentiment. The Awesome Oscillator further confirms the bearish momentum, being well below zero, indicative of possible continued decline.
Solana's Future and Market Prospects
With high trading volume potentially fuelling growth, investors are monitoring whether Solana can maintain its current support levels. Stability could offer a platform for recovery, while failing to uphold these levels might exacerbate the downturn.
Despite the notable increase in transaction volumes on the Solana network, the token's price has yet to experience a parallel rise. Future market events and developments might affect the situation, providing both growth opportunities and risks for further decline.
