Solana bulls eye $180, but will profit-taking spoil SOL’s rally?

By: ambcrypto|2025/05/13 16:00:17
0
Share
copy
The Solana market structure was bullish, and its bulls have made rapid gains in recent days. The increased profit that holders witnessed now could result in a wave of selling pressure soon. Solana [SOL] saw its Total Value Locked (TVL) reclaim the levels it was at in mid-February, even though the price is around 40% lower. This reflected bullish fundamentals and high potential for SOL to make more gains. At the same time, the report also highlighted the high NVT values that suggested the token was overvalued. Source: Glassnode Despite the potential for the network, sizeable whale accumulation was not evident from the relative address supply distribution. The metric tracks the amount of circulating supply of Solana held within specific balance bands. After the November 2023-March 2024 rally that took SOL from $20 to $160, holders with more than 100k SOL added significantly to their holdings. So too did the 1k and higher balance wallets. These wallets added heavily after the major move, a sign that price moves might not always be preceded by market-wide accumulation. In November 2023, there was some selling witnessed during the price surge, likely from heavily underwater market participants. Therefore, the lack of addition to the 100k and higher balance band does not negate the bullish potential for Solana. However, the SOPR could serve as a warning for holders. Solana tests the $180 resistance once again Source: Glassnode At press time, the Spent Output Profit Ratio (SOPR) was at 1.16. The metric is price sold/price paid, used to analyze whether holders are selling at a profit or loss. Since December 2024, whenever the SOPR has reached the 1.06-1.1 values, the price of Solana has faced a deep retracement. A similar situation could occur once again. The chances came not just from the past six months’ pattern, but also from a technical analysis standpoint. Source: SOL/USDT on TradingView On the 1-day chart, Solana has a bullish market structure. It had beaten the lower low at $143 of the Q1 2025 downtrend, to reclaim a bullish bias. The same level was retested as support a week ago before the rally to $178. However, the $180 region has been a stern resistance zone since mid-February. The Awesome Oscillator showed bullish momentum, and the rising OBV underlined steady demand for the token. Yet, with holders at a sizeable profit again, a price dip from profit-taking activity could occur, based on the SOPR values. Investors can wait for a dip to $150-$160 to buy more, so long as the OBV can maintain its uptrend. Share Share Tweet

You may also like

The large models in the United States are moving towards closure in the name of security

The government successfully inserted itself as an approver between commercial AI models and their users for the first time.

Morning Report | CoinEx becomes a key hub for Iran to evade sanctions, involving over $3.8 billion in funds; Kalshi seeks a new round of financing, with a valuation potentially rising to $40 billion

Overview of Important Market Events on June 25

From the white-haired stock god to the billionaire fund mogul, the smart people shorting Nvidia are all getting rich using the same framework

Give up on heavily investing in Nvidia's "nine major bottlenecks"! This article analyzes the underlying logic behind top AI investors making billions: physical infrastructure such as electricity, HBM, and optical interconnects are the true keys to wealth in AI hardware.

Why do cryptocurrency projects always like to change their names?

In many cases, the old names of encryption projects have no competitive advantage, only historical baggage.

Global Launch: As predictions become the most scarce asset in the AI era, Manadia is defining the next generation of the value internet

The trusted AI prediction ecosystem Manadia, which has secured $7 million in funding from well-known institutions like OKX, will globally launch in June. The core token UMXM has already been listed on multiple mainstream platforms, inviting you to seize the new blue ocean of the trillion-level predi...

Who is footing the bill for the $64 billion accounting frenzy?

Affected by Bitcoin falling below $60,000, publicly listed companies heavily invested in this asset are facing huge paper losses and valuation discounts, and their debt structure and accounting standards may trigger structural liquidity risks in the future.

Popular coins

Latest Crypto News

Read more
iconiconiconiconiconiconicon
Customer Support:@weikecs
Business Cooperation:@weikecs
Quant Trading & MM:bd@weex.com
VIP Program:support@weex.com