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Crypto investors bridged $120 million to Solana from competing blockchains, but technical data suggests SOL price will struggle to hold its recent gains.
Altcoin Watch COINTELEGRAPH IN YOUR SOCIAL FEED
Over the past 30 days, crypto market participants have bridged more than $120 million in liquidity to Solana (SOL) from other blockchains, signaling renewed confidence in the network. Traders transferred the highest amount from Ethereum (ETH) at $41.5 million, followed by a $37.3 million influx from Arbitrum, according to data from Debridge.
Meanwhile, users on Base, BNB Chain and Sonic moved $16 million, $14 million and $6.6 million, respectively.
Total transferred amount from other chains to Solana. Source: debridge
The return of liquidity to Solana paints a stark contrast to the network’s recent challenges. Following Argentina’s LIBRA memecoin scandal, which ensnared President Javier Milei, Solana saw investors move $485 million to other blockchains like Ethereum and BNB Chain.
The current liquidity influx to Solana coincides with the return of double-digit price rallies from memecoins as POPCAT, FARTCOIN, BONK and WIF rose 79%, 51%, 25% and 21%, respectively, over the past seven days.
However, further analysis shows the total generated fees for March coming in just under $46 million. For context, Solana’s fees peaked at over $400 million in January 2025. Currently, the total fees generated for the month of April are roughly $22 million.
Solana total generated fees and revenue. Source: DefiLlama
Related: Spot Solana ETFs to launch in Canada this week
Solana price has a tough uphill climb ahead
From a technical perspective, Solana remains in a bearish trend on the 1-day chart. SOL must exhibit a bullish break of structure by closing a daily candle above $147 for a bullish trend shift.
Solana 1-day chart. Source: Cointelegraph/TradingView
Solana remains under the $140 level, with the 50-day exponential moving average (blue line) acting as a strong resistance. A bullish close above the 50-EMA would have increased the likelihood of a positive trend reversal, but SOL prices have stalled at current levels.
On a lower time frame (LTF) chart, Solana exhibited a bearish divergence between the price and relative strength index (RSI) indicator. Historically, a bearish divergence setup has signaled a correction period for Solana in 2025. SOL has experienced four bearish divergences since January, each following a price decline.
Solana 4-hour chart. Source: Cointelegraph/TradingView
There is a strong similarity between its previous and current bearish divergence. Both setups took place after the price moved temporarily above the 50-day and 100-day EMA (blue and green line) on the 4-hour chart, eventually leading to a price drop.
Thus, it is possible that Solana could follow a similar path in the next few days. The 1-day demand zone is the immediate area of interest for a bounce between $115 and $108.
Meanwhile, in a recent X post, Glassnode reported a significant shift in Solana’s realized price distribution, with over 32 million SOL bought at the $130 level over the past few days. That is 5% of the total supply, which means the $130 level could be a strong support level in the future. The analysis added,
“Below $129, we see 18M $SOL (3%) at $117.99, while above, 27M $SOL(4.76%) sit at $144.54. In the short term, $144 could act as resistance and $117 as the lower bound of the price range, with $129 serving as the key pivot zone.”
Solana UTXO realized price. Source: Glassnode
Related: Bitcoin price recovery could be capped at $90K — Here’s why
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
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