Solana Price Prediction: SOL Futures Trading Explodes as Token Hits $200 – Next Stop $300?

Solana (SOL) has surpassed the $200 mark once again today as trading volumes have increased dramatically in the past few days.

Data from CoinGlass shows that $50 billion worth of SOL futures exchanged hands on Monday. This is the third time this year that trading activity has reached such levels. The first time happened on January 19 as SOL rose to $250.

Solana Futures Trading Volume – Source: CoinGlass

Back then, President Donald Trump launched his official meme coin, Official Trump (TRUMP), and caused a spike in network activity and a corresponding surge in trading volumes.

This time, no specific catalyst seems to be fueling this rally. This makes it even more relevant from a technical perspective as it means that buying pressure is strong at around $170 – $190.

Crypto liquidations are relatively low today, with just $133 million worth of shorts being wiped out of the market in the past 24 hours. However, Solana has booked a 9% gain during this period.

Once the American session opens, the market could give it another try at breaking a long-dated resistance at $205 from which SOL has dropped sharply multiple times recently.

SOL Could Play Catch-Up With ETH and BNB

Solana DEXs have experienced a 5% jump in trading volumes in the past week reflecting strong interest in tokens within this ecosystem.

The success of newcomers in the meme coin space like Pudgy Penguins (PENGU), Fartcoin (FARTCOIN), and SPX6900 (SPX) shows that the Solana ecosystem continues to attract hundreds of millions from investors.

Moreover, the macro environment favors a bullish outlook as well. Last week, the Chairman of the Federal Reserve, Jerome Powell, confirmed that the central bank is ready to implement its first rate cut of the year. Analysts agree that the Fed will lower rates by 25 basis points during its September meeting.

FedWatch Target Rate Probabilities – Source: CME Group

This supports a bullish outlook for cryptos and the market could be preparing for this as evidenced by this latest wave of buying. In addition, analysts surveyed by FedWatch give a 46% chance that rates will be cut again in October.

Both Ethereum (ETH) and BNB Coin (BNB) have made new all-time highs already. Hence, this could be Solana’s turn to rise to a new record.

Uptrend Favors Upcoming Bullish Breakout for Solana

The daily chart shows that SOL made a double-bottom at $175 initially and went on to surge to $205 just days after. Meanwhile, the token retreated strongly on Monday but has bounced back in the past couple of days.

SOL/USD Daily Chart (Coinbase) – Source: TradingView

This is now the third time in just a couple of weeks that SOL will hit the $205 resistance. Can it finally break above it?

The chart shows that an uptrend has formed lately, meaning that buyers are increasingly willing to scoop up SOL at a higher price during pullbacks. This is reflected by the higher lows seen in the chart.

Hence, the likelihood of a bullish breakout at this point is quite high. If we get such a move, we could see SOL rising to $265 first and maybe $300 if positive momentum gains traction.