Solana Price Prediction: SOL Stays Above $180 as ETF Assets Surpass $700M

Solana (SOL) has gone up by 1.5% in the past 24 hours as the market has bounced off key supports following the Fed’s decision to cut interest rates this week.

Altcoin season was (possibly temporarily) derailed by President Donald Trump’s decision to increase tariffs on China by 100%.

Meanwhile, the head of the Federal Reserve, Jerome Powell, emphasized this week that another rate cut in December is far from certain.

Fear and Greed Index – Source: CoinMarketCap

As the macroeconomic backdrop deteriorates, market sentiment has taken a hit. The Fear and Greed Index dived from 42 to 32 in just a few days, and Solana has booked a 15% during that period as a result.

That said, even though market conditions have deteriorated a bit, institutional adoption of Solana is rising at a fast pace.

Institutional Adoption is Rising as ETFs Bring In $700M+ in Assets

The launch of Bitwise’s Solana ETF (BSOL) could mark a pivotal moment for the token as more than $300 million have flowed to SOL in just a few days to take advantage of the vehicles attractive staking rewards of 7%.

Bitwise Solana ETF (BSOL) – Source: Bitwise’s Official Website

Combined with the assets managed by the REX-Osprey Solana + Staking ETF (SSK), the two funds have brought in over $700 million in assets. This underscores the significant interest that Wall Street has in this altcoin.

In addition, Solana treasuries have bought nearly $3 billion worth of the token. A total of 10 companies are currently heavily invested in the network’s growth, which favors a positive outlook for its ecosystem.

That said, Solana’s reputation as the home of meme coins could be crippling its growth as Ethereum has succeeded by becoming the go-to network for a much larger segment of the crypto space – decentralized finance (DeFi).

Unless Solana manages to attract top DeFi developers to its ecosystem, it will continue to lag behind the top altcoin.

Solana Consolidates Above $180 But Struggles to Make a Higher High

A small consolidation pattern has popped up after the token broke below its long-dated trend line resistance. SOL is now trading in a tight range between $200 and $180.

These types of consolidation can be considered an accumulation phase ahead of the next leg up. However, the price has also failed to make a new high despite many retests of the $180 level, which increases the odds of a bearish breakout.

A decisive breakout above $210 should set SOL on course to hit $235 first and $250 afterward, especially if the move is accompanied by high volumes. The Relative Strength Index (RSI) has not yet confirmed a bullish outlook, but it should if the price gets above this level.

It is worth noting that Solana has not made an all-time high during this cycle like BNB Coin (BNB) and Ethereum (ETH) did. The reason for this could be some disappointing on-chain metrics, as daily active users (DAUs) have been declining for months, same as daily transaction volumes.

The 200-day exponential moving average (EMA) will be the key support to watch during the weekend. A move below this line could set off a major drop toward $155.