Solana Prediction as Bullish Flag Forms, ETF and Staking Inflows Jump

Solana price resumed its upward trend today, reaching a high of $122 as the crypto market rally resumed. SOL has now jumped by 103% from its lowest level year. This rebound may continue in the near future as it has formed a bullish flag pattern amid the ongoing ETF and staking inflows accelerate.

Solana Price is Rising as ETF and Staking Inflows Jump

SOL token has more than doubled in the past few months as investors have continued buying the coin. Data compiled by SoSoValue shows that spot SOL ETF inflows jumped by over $271 million in September.

September was the third consecutive month of inflows and was the best month since November last year, when they added $419 million. In total, the funds have had over $478 million in inflows in the last three months.

The funds have had over $1.61 billion in inflows since their approval and now hold over $1.9 billion in assets. The largest Solana ETFs are from companies such as Bitwise, Fidelity, Grayscale, and Morgan Stanley.

This trend suggests that demand for Solana is rising, which is usually a bullish sign in fundamental analysis.

Solana’s Staking Inflows are Rising

Another sign of rising demand for Solana is the rising staking inflows. Data compiled by StakingRewards shows that the amount of staked Solana has soared, bringing the staking ratio to nearly 70%.

The staking market capitalization has jumped to $53 billion, which is equivalent to 441 million tokens. Investors are allocating capital to Solana due to its market share in the layer-1 space and its higher staking ratio compared to other tokens. It has a staking rate of 5%, higher than Ethereum’s 2.6%.

Meanwhile, demand for Solana in the futures market continued rising this week. According to CoinGlass, the interest jumped to over $2.7 billion this week, its highest level since January 19 this year. Soaring open interest is a sign that demand among traders is in an uptrend.

Solana’s Key Fundamentals Are Improving

There are signs that Solana’s fundamentals are improving. For example, in a statement on Thursday, Fiserv announced that its digital asset platform was live with top financial institutional clients in North Dakota. The first live use case is Roughrider Coin, which is North Dakota’s dollar-backed stablecoin, which is built on Solana’s network.

Another key aspect is the fact that Solana is the biggest chain in terms of DEX volume. Data shows that the total DEX volume jumped to over $77 billion in the last 30 days. This amount was much higher than Robinhood Chain’s $55 billion and Ethereum’s $43 billion.

Solana’s stablecoin market cap has also continued rising, and currently stands at over $16 billion, with USDC having the biggest market share.

Solana Price Prediction: Technical Analysis

The daily chart shows that the SOL token has been in an uptrend over the past few months. It has jumped from $60 in June to $121 today.

A closer look shows that the coin formed a bullish flag pattern, which consists of a vertical line and a horizontal channel. It has jumped above the upper side of the bullish flag pattern.

The coin has recently formed a golden cross pattern, which happens when the 50-day moving average crosses the 200-day moving average. This pattern leads to more gains over time.

The Average Directional Index (ADX) has continued rising to 44. Therefore, the token will likely continue rising as bulls target the key resistance level of $150, its highest level in January this year.