Solana ($SOL) has distinguished itself as a top performer among the five leading cryptocurrencies, registering a gain of around 10% over the last week.
The cryptocurrency achieved a short-term goal of $120 after breaking free from a bullish flag formation, though recent profit-taking has caused a pullback from that resistance level.
Despite this recent decline, positive trends in institutional investments, a rise in futures-market activity, and climbing network fees indicate that Solana’s wider recovery is still on track.
If buyers manage to defend critical support levels, $SOL could embark on another rally targeting the $145-$150 range.
$SOL pulls back after hitting $120
The surge in Solana’s price accelerated after it broke above a bullish flag pattern.
This continuation pattern often occurs when an asset stabilizes following a significant upward trend, before continuing its current direction.
The breakout swiftly propelled $SOL towards $120, achieving the initial goal of the pattern. However, sellers stepped in at this level, initiating a broader retracement as traders took profits.
This downturn has coincided with increased volatility within the cryptocurrency market.
In the past two days alone, over $500 million in leveraged long positions were liquidated across the futures market as prices fell sharply.
Such liquidation events can exacerbate short-term declines since exchanges automatically close leveraged positions when traders fail to meet margin calls.
Nonetheless, these resets can also alleviate excessive leverage, establishing a healthier base for a subsequent rally if demand remains robust.
Interest in Solana futures continues to recover despite the market’s current volatility. Data from CoinGlass indicates that $SOL open interest has increased from a recent low of $5.9 billion on September 17 to approximately $6.92 billion.
Open interest measures the total value of outstanding derivatives contracts yet to be settled, and its rise indicates that traders are re-engaging with the $SOL futures market.
However, a rise in open interest isn’t automatically a bullish sign, as it includes both long and short contracts. Its significance depends on various factors, including funding rates, liquidations, and price movements.
In this scenario, the increase alongside $SOL‘s upward trend suggests heightened speculative activity as traders position themselves for the next market movement.
Institutional interest also signals a positive trend. CoinGlass reports that Solana-focused exchange-traded funds have seen net inflows for the past eight trading days.
Around $130 million has flowed into these products during this period, highlighting sustained investor interest rather than simply a single unexpected strong session.
Consistent inflows into ETFs can bolster an asset’s price by fostering underlying buying activity through regulated investment channels.
Solana’s strengthening fundamentals extend beyond just financial markets.
Network application fees have been on a steady rise for nine weeks, reflecting heightened activity across decentralized finance protocols, trading platforms, and memecoin launchpads.
In the second week of September, Solana applications generated over $100 million in fees, marking the first time this threshold was surpassed since September 2025, when $SOL was trading above $200.
One key driver of this growth has been Pump.fun.
This platform has generated around $161 million in fees over the past month, approximately four times more than Axiom, its closest competitor in fee revenue during the same period.
Application fees on Solana have also approached levels last seen between January and February 2026, when $SOL was near the $140 mark.
Can Solana push towards $150?
The initial support level for $SOL sits around $113, an area that has previously attracted buying interest on shorter timeframes. A rebound at this level would suggest that buyers are still eager to step in during minor pullbacks.
A stronger support zone exists between $107 and $110. This area may become a key target if the market correction extends in the coming sessions.
A decisive rebound from the $107-$110 range would maintain Solana’s bullish market outlook, potentially setting the stage for another upward trend. In such a case, the next significant target would lie between $145 and $150.
A rise from approximately $116 to the upper end of that range could represent an increase of around 30%. Conversely, a sustained drop below $107 could undermine the bullish momentum and increase the likelihood of a deeper correction.
For the time being, rising application fees, eight consecutive days of ETF inflows, and a recovering futures market support a positive outlook for Solana.
Holding in the $107-$113 range could provide the necessary confirmation for $SOL to initiate its next ascent toward $150.