Solana jumps 20% on institutional buying… on-chain activity also on the rise

Solana (SOL) has surged 20% over the past week, showing an upward trend. Analysts say that institutional buying and increasing on-chain activity are boosting expectations for network strength.

On the 13th, according to virtual asset (cryptocurrency) specialist media CoinPedia, based on the Strategic SOL Reserve (SSR), the amount of Solana held by 17 institutional treasury firms has exceeded 10 million (about $2.5 billion). Earlier, Galaxy Digital purchased $5 billion worth of SOL and deposited most of it with Coinbase Prime Custody.

On-chain indicators are also positive. The Solana network's daily transaction volume recently topped 30 million, far surpassing Ethereum. This is an indicator that reflects actual usage and user activity, which analysts say increases the credibility of the price rally.

ETF hopes are also supporting the upswing. The U.S. Securities and Exchange Commission (SEC) delayed its review decision on Franklin Templeton's application for a Solana spot ETF until November, but the industry is increasingly suggesting approval within the year is likely.

As of 16:15 that day, the SOL price was trading at $242.65 on the Binance USDT market, up 1.83% from the previous day.

Crypto analyst Ali Martinez said, "A classic 'cup-and-handle' pattern is appearing on Solana's price chart," adding, "If the pattern completes, it could rise to $1,300." He added, however, that if the short-term $242~$246 resistance is not broken, a retracement to $184 is possible.