Solana futures open interest nears all-time high — Will SOL price follow?
The post Solana futures open interest nears all-time high — Will SOL price follow? appeared on BitcoinEthereumNews.com.
Key points: Solana held the $140 support level for a week, a first in more than two months, highlighting traders’ growing confidence. SOL futures open interest hit $5.75 billion on April 30, showing strong institutional interest. With rising DEX volumes and a $9.5 billion TVL, SOL could rally to $200 before a potential spot ETF approval on Oct. 10. Solana’s native token, SOL (SOL), fell 4% between April 29 and April 30 after failing to sustain the $150 level. Despite this short-term decline, traders seem more confident as the $140 support remained intact for a whole week, an outcome that hadn’t happened in over two months. As demand for leveraged SOL positions reached near record highs on April 30, traders are now reconsidering the chances of a SOL rally above $200. Solana futures aggregate open interest, SOL. Source: CoinGlass SOL futures open interest climbed to 40.5 million SOL on April 30, marking a 5% increase from the previous month and nearing its all-time high. In dollar terms, this represents $5.75 billion in futures positions, ranking third in the cryptocurrency market and over 50% higher than the demand for XRP derivatives. This strong adoption of SOL derivatives points to growing institutional interest. Data shows increased demand for bearish leveraged SOL positions Traders often believe that increased demand for SOL futures signals rising optimism. However, since longs (buyers) and shorts (sellers) are always matched, a rise in open interest does not necessarily indicate a bullish outlook. To better understand leverage demand in SOL futures, one can look at the funding rate for perpetual contracts. ETH perpetual futures 8-hour funding rate. Source: Laevitas.ch Currently, the funding rate on SOL perpetual futures is negative, which shows more demand for bearish positions. The last period of moderate optimism ended on April 25 after a failed…
Filed under: News - @ May 1, 2025 2:28 pm