Share:
  • Solana noted over $3 million worth of inflows per CoinShare’s weekly flows data, which stands just behind Ethereum.
  • Solana price has been stuck in consolidation between $25.6 and $22.9 for nearly three weeks now.
  • SOL is still vulnerable to corrections, and a dip below $19 would invalidate the bullish thesis of recovery to $30.

Solana price has stuck to sideways momentum over the last few days as the broader crypto market noted mixed sentiments. However, movement is expected out of the altcoin now that interest from big wallet holders in the asset has risen.

According to CoinShare’s weekly net flows data Solana managed to attract $0.5 million worth of inflows for the week ending February 3. The inflows were the second highest, led by Ethereum, which brought in $0.7 million. 

This performance has been consistent since the beginning of the year as the year-to-date inflows for Ethereum clocked in at $10 million, followed by Solana with $3 million worth of inflows. This institutional interest is expected to keep Solana price away from the bears' control.

Solana price is struggling to remain afloat

Solana price has been consolidated between $25.6 and $22.9 for almost three weeks as the altcoin failed to maintain the early January bullishness. Trading at $23.22, the altcoin is treading right at the immediate support level of $22.77.

If the institutions' interest rejuvenates the bulls and Solana price pulls through, a recovery toward $25.65 can be expected. The level coincides with the 50% Fibonacci retracement from $37.25 to $14.05. Reclaiming it would enable SOL to rise and tag the critical resistance at $28.29, and flipping it into a support floor would also provide the altcoin with the support of the 61.8 Fib level.

SOL/USD 8-hour chart

SOL/USD 8-hour chart

Nevertheless, the bears also seem to be reigning in the price movement, and if the immediate support level is lost, Solana price will slip to $20.69. Losing this would push the cryptocurrency to tag the critical support level at $19.3, which coincides with the 23.6% Fibonacci line. A daily candlestick close below this level would invalidate the bullish thesis, bringing SOL to $17.89, marking a 21% dip.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Join Telegram

Follow us on Telegram

Stay updated of all the news

Join Telegram

Recommended content


Follow us on Telegram

Stay updated of all the news

Join Telegram

Recommended Content

Editors’ Picks

How XRP whales are preparing for Ripple win against SEC

How XRP whales are preparing for Ripple win against SEC

Ripple has garnered support from several experts and influencers on crypto Twitter in its legal battle with the US financial regulator, the Securities and Exchange Commission (SEC). Messari CEO Ryan Selkis expressed his support for the payment giant in a recent tweet.

More Cryptocurrencies news

Arbitrum airdrop flops, but ARB still makes it to a commendable all-time high. Here’s what happened

Arbitrum airdrop flops, but ARB still makes it to a commendable all-time high. Here’s what happened

The token launch for Arbitrum was quite bumpy, to say the least after users could not claim their airdrop tokens for the first one hour post-launch. The turn of events was very disappointing, given that users had been waiting for a week for the highly-advertised ARB airdrop.

More Arbitrum News

Do Kwon faces fraud charges in New York, LUNA price recovers from 9% crash

Do Kwon faces fraud charges in New York, LUNA price recovers from 9% crash

Terraform Labs co-founder Do Kwon is set to face more charges in the United States in addition to the ones that already exist against him. The arrest of the former Chief Executive Officer (CEO) of Terra will finally allow the fraud proceedings to begin.

More Cryptocurrencies News

Coinbase CEO calls for action in electing pro-crypto lawmakers following SEC Wells notice

Coinbase CEO calls for action in electing pro-crypto lawmakers following SEC Wells notice

Brian Armstrong urged crypto proponents to “contact their congressman, donate to pro-crypto candidates, show up at town halls” in an effort to achieve clear rules for crypto. The CEO of United States-based cryptocurrency exchange Coinbase, has renewed calls for crypto users to “elect pro-crypto candidates.”

More Cryptocurrencies News

Bitcoin: Should you trust this BTC sell signal or wait for $34,000?

Bitcoin: Should you trust this BTC sell signal or wait for $34,000?

Bitcoin price shows a clear picture of its rally after it breached a long-term bullish pattern in mid-January. As the rally takes a breather, sell signs have started to emerge, which is putting investors in a confused state. 

Read full analysis

BTC

ETH

XRP