SOL holds $77 as ETF inflows and bullish derivatives signal further upside

Key takeaways

Solana (SOL) trades around $78, gaining more than 2% this week.
Spot Solana ETFs recorded $5.83 million in inflows, marking the second straight day of institutional buying.
Derivatives data points to growing bullish sentiment, with the long-to-short ratio rising to 1.12.

Solana (SOL) remained steady around $77 on Wednesday, extending its weekly gains to more than 2% as institutional investors returned to the market.

Growing inflows into spot Solana exchange-traded funds (ETFs), combined with increasingly bullish derivatives positioning, are improving the outlook for the cryptocurrency despite technical resistance continuing to cap upside momentum.

Solana ETFs record strongest inflows in weeks

Institutional demand for Solana showed further improvement this week. According to SoSoValue, spot Solana ETFs attracted $5.83 million in net inflows on Tuesday, marking the second consecutive day of positive flows. 

It was also the largest single-day inflow since July 6, suggesting institutional confidence may be recovering after a quieter period.

If ETF inflows continue throughout the week, they could provide additional buying pressure and support a broader price recovery for SOL.

The derivatives market is also showing signs of growing optimism. Data from CoinGlass reveals that Solana’s long-to-short ratio climbed to 1.12 on Wednesday, approaching its highest level in more than a month. 

The increase indicates that leveraged traders are increasingly positioning for additional price gains.

The stronger long positioning reinforces the improving institutional sentiment reflected in recent ETF inflows, suggesting both retail and professional traders are becoming more constructive on SOL’s near-term outlook.

Solana price analysis: Can SOL break above $80?

From a technical standpoint, Solana continues to consolidate after recovering above its 50-day Exponential Moving Average (EMA).

SOL is currently trading near $78.05, holding above the 50-day EMA at $76.76 and the horizontal support level around $77.06. 

These levels continue to provide a solid foundation for the current recovery. However, the cryptocurrency remains below the 100-day EMA at $80.39 and well beneath the 200-day EMA at $92.87, leaving the broader trend cautious until these resistance levels are reclaimed.

Momentum indicators present a mixed picture. The Relative Strength Index (RSI) sits around 54, indicating modest bullish momentum without reaching overbought territory. 

Meanwhile, the Moving Average Convergence Divergence (MACD) remains slightly below the neutral line, suggesting buyers have gained some traction but have yet to establish a decisive uptrend.

The first resistance level lies at the 50% Fibonacci retracement around $79.27, followed closely by the 100-day EMA at $80.39.

A sustained daily close above this resistance zone would strengthen the bullish outlook and could open the door for a rally toward the 61.8% Fibonacci retracement at $83.78.

On the downside, immediate support remains at $77.06, reinforced by the 50-day EMA at $76.76. A break below this area could trigger a decline toward the 38.2% Fibonacci retracement at $74.75.

If bearish momentum intensifies, additional support levels are located at $69.16 and $60.13, although those areas are likely to come into focus only if sellers regain firm control of the broader trend.

For now, improving ETF inflows, rising bullish positioning in the derivatives market, and resilient price action above key support suggest Solana retains a cautiously optimistic outlook, provided buyers can push the token above the critical $80.39 resistance level.