Solana soars 11% on institutional demand surge
Solana soars 11% on institutional demand surge
Solana showed resilience over the weekend as it bounced back from the $160 support level, a critical price level that has now shifted from resistance to a solid support zone.
This rebound has sent SOL up 11%, with the token currently trading around $176 and edging closer to the significant $180 resistance mark.
Solana network activity and high demand concentration
Supporting this price action, Solana’s network activity reveals a highly concentrated fee structure – with just 0.13% of users generating a staggering 90% of transaction fees. This concentration highlights the powerful institutional interest and high trading volume within the Solana ecosystem, especially through decentralized exchanges, or DEX trades. DEX activity alone accounts for 75 to 90% of Solana’s transaction fees – well above the 55 to 65% seen on the Ethereum network. This tells us that Solana’s fast, low-fee network is particularly attractive to traders, including those in the memecoin and gaming communities.
According to Reports, Solana’s peak activity is in alignment with the U.S. time zones due to fees spiking in the late Pacific hours. This unique activity pattern suggests that Solana is carving out a distinct user base, heavily engaged in high-volume trading during these peak times. With low fees and high speed, the network is increasingly appealing to those looking for fast, low-cost transactions.
Solana is now hovering around $176, just shy of the $180 resistance mark. Crypto analyst Carl Runefelt’s recent chart analysis shows that a break above $180 could spark a wave of ‘FOMO’ buying, potentially driving prices higher. But, on the flip side, any dip below $170 might trigger caution, pulling Solana back to previous demand zones and potentially slowing this bullish trend.
Solana is gaining traction as recent shifts in investor sentiment highlight growing frustration with Ethereum’s returns.
