The post 4 Key Reasons Solana (SOL) Could Rebound to $180 appeared on BitcoinEthereumNews.com.

Solana’s recent negative funding rates indicate bearish sentiment among traders, though a short squeeze or favorable news could trigger a price spike. A shift in institutional interest toward Solana could bolster confidence in the network, driving prices higher and supporting a return to the $180 level. Solana (SOL) price has encountered serious resistance at around $180 following a recovery from a late-February low of $125. While this revival saw SOL lag 50% behind its all-time high price of $295, four very important factors are likely to see the token revert back to the $180 figure. 1. On-Chain Activity Revival For Solana Solana’s network has experienced slowdown in major categories such as liquid staking, decentralized exchanges, and NFT marketplaces. Network fees have declined by 73% over the last month, indicating lower user activity, DeFiLlama reports. Source: DeFiLlamaSolana The active addresses on Jito, Solana’s largest liquid staking platform, dropped by 56% in the past 30 days, while Magic Eden, one of the most popular NFT marketplaces, experienced a 38% decline. Save (previously Solend), a lending protocol, also lost 42% of its active users. In comparison, Base, Ethereum’s layer-2 network, saw only a 2% fall in active addresses, and Ethereum’s main chain experienced a 17% fall. If Solana can turn this around and bring back new activity, it might be the catalyst for a price recovery. 2. Reappearance Of Leverage Demand For SOL Token Market sentiment is frequently expressed in terms of leverage demand, especially using perpetual futures contracts. In the last three days, SOL’s funding rate has been negative, indicating short sellers are paying to maintain their position, as mentioned in our earlier report. The rate of -0.01% every eight hours is not atypical but reflects a lack of confidence among the traders. A move into long positions may ignite a price…

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Filed under: News - @ March 9, 2025 5:14 am