Solana (SOL) has seen a remarkable price surge over the last 10 days, climbing 40% from its April 7 low of $95 to around $133 on April 17. The altcoin is up 8% over the last 24 hours.

Its daily trading volume has jumped by 41% over the same period to $4.64 billion, reinforcing the intensity of the demand-side activity.

Several factors are driving the SOL price up today, including:

• The launch of the first spot Solana ETF in Canada.

• Growth in Solana network deposits.

• SOL’s strengthening price technicals are targeting $200.

Growing institutional adoption of Solana

Institutional interest in Solana is accelerating, evidenced by significant recent developments surrounding Solana exchange-traded funds (ETFs).

On April 16, Canada launched the first spot Solana ETFs in North America, issued by asset managers like 3iQ, Purpose, Evolve, and CI. These ETFs, which include staking options to generate yield, provide traditional investors with regulated exposure to SOL, boosting demand and liquidity. 

3iQ’s ETF, for instance, leverages Figment as a staking provider to enhance returns, signaling confidence in Solana’s infrastructure.

Additionally, real estate fintech firm Janover doubled its Solana holdings to 163,651 SOL, valued at $21.2 million, after purchasing 80,567 SOL for $10.5 million on April 15.

Janover’s strategy, inspired by MicroStrategy’s Bitcoin playbook, includes staking and potentially running validators, reflecting its confidence in Solana’s long-term value.

These moves underscore Solana’s growing appeal as a corporate treasury asset and investment vehicle.

Increased Solana network inflows

Solana’s network activity has surged, driving capital inflows. 

Crypto market participants have bridged more than $120 million in liquidity from other blockchains to Solana over the last 30 days, according to data from deBridge. 

The highest amount was transferred from Ethereum at $41.5 million, followed by a $37.3 million influx from Arbitrum. Meanwhile, Base, BNB Chain, and Sonic users moved $16 million, $14 million, and $6.6 million, respectively.

The current liquidity influx to Solana coincides with the return of double-digit price rallies from memecoins as Popcat (POPCAT), Fartcoin (FARTCOIN), and Bonk (BONK) rose 50%, 26% and 13%, respectively, over the past seven days.

Further analysis reveals that the total value locked (TVL) on Solana has increased by 12% over the last seven days to rest at $7.08 billion on April 17, pulling ahead of competitors such as Tron, Base, and Berachain, according to data from DefiLlama.

Related: Solana rallies 20% against Ethereum, but is $300 SOL price within reach?

Promising signs for Solana include a 30% increase in deposits on Sanctum, a liquid staking application, and 15% growth on Jito and Jupiter. These inflows and growing TVL reflect heightened investor optimism and network adoption, supporting SOL’s recovery from a 14-month low below $100.

SOL price validates falling wedge pattern

SOL price technicals, meanwhile, gained momentum after breaking out of a falling wedge pattern.

A falling wedge is a bullish reversal pattern in technical analysis comprising two converging trend lines connecting lower lows and lower highs. The pattern resolves when the price breaks above the upper trendline, hinting at a price rally. 

After rebounding from a multi-year support trendline near $95, SOL broke above the upper trending line of the wedge at $120, with traders eying the technical target of the wedge at $200, representing a 50% increase from the current price.

The relative strength index (RSI) has increased from 33 to 55 since April 7, indicating an increasing bullish momentum.

However, to sustain the ongoing recovery, Solana price has to first hold above the 50-day simple moving average (SMA), currently at $130, and then overcome the resistance between $160 and $180, where the 100-day and 200-day SMAs are.

As Contelegraph reported, a decisive close above the 50-EMA ($135) will increase the likelihood of a rally toward the aforementioned targets.

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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