Solana At $150, Temporary Correction Or End Of The Crypto Rally?

A few days after reaching a peak of $161, the Solana (SOL) cryptocurrency is taking a break in its recent rise. The flagship token of the high-performance blockchain ecosystem is experiencing a slight correction, raising questions about the sustainability of its bullish momentum.

A measured pullback after a strong rise

After a meteoric rise, Solana (SOL) is taking a strategic break. This brief correction, occurring in a context of high activity on the network and ongoing innovations, reflects the cyclical nature of the crypto market.

At the time of writing, SOL is trading at $156.37, showing a slight increase of 0.58% over 24 hours. This moderate pullback comes in the wake of an impressive rally that had pushed the price up to $161.

Several interdependent factors explain this temporary pause. Firstly, the intense activity of the Pump.fun account played a decisive role. The liquidation of 122,250 SOL (approximately $18.9 million) over the past five days has exerted significant downward pressure on the price.

Although this activity reflects the vitality of the Solana ecosystem, it has temporarily saturated the market, causing a natural price rebalancing.

Furthermore, after three weeks of continuous rise, a consolidation phase was predictable and even desirable for the long-term health of the market. Investors, following a profit-taking logic, naturally lightened their positions, contributing to this temporary price drop.

Based on the current market sentiment, the development of the Solana ecosystem, and the involvement of major partners, SOL is expected to be more bullish than bearish in October. SOL may reach or exceed the price range of $160 to $180 in October.

Ryan Lee, Chief Analyst at Bitget Research

An overflowing network activity despite the correction

Solana continues to show impressive statistics despite the recent price drop. With 3.04 million active addresses daily, the blockchain is positioned at the forefront of the most used networks. This effervescence is mainly due to the enthusiasm around meme cryptos and the introduction of new protocols like Pump.Fun.

The launch of liquid staking SOL has also contributed to attracting new investors to the Solana ecosystem.

The intense activity on Pump.fun perfectly illustrates this boom. With revenues generated amounting to 773,617 SOL (approximately $120.68 million), the platform demonstrates the growing enthusiasm for meme tokens on Solana.

The trading volume also shows an increase of 42.21%, signaling sustained interest from traders and abundant liquidity. Moreover, over the past 7 days, SOL maintains a notable increase of 8.84%, demonstrating the token’s resilience in the face of this short-term correction.

The market remains attentive to the next movements of SOL. Exceeding the recent peak of $161 could pave the way for new resistance tests at $174 and then $186. Conversely, a drop below $154 could lead to a pullback towards the support of $147.