Key Takeaways:
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Sol futures and funding rates show moderate optimization, but there is no strong positioning in the uprising.
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Network activity and ETF hope support, but confidence in big players remains masked.
Solana’s native token, Sol (Sol), rallies 28% in three weeks, creating some positive momentum after nearly two months of bearish price action. The transition has caused moderately optimizing the Sol derivatives, although whales and market makers have not yet turns. Traders are now asking what can unlock a new rally towards $ 260.
The current 16% annual funding rate For Sol reflects moderate enthusiasm from retail entrepreneurs but remains within a healthy range. Under neutral conditions, the annual funding rate for eternal contracts usually range between 5% and 15%, showing that long positions pay a premium to maintain exposure.
Despite the previous 28% price increase, Sol has been caught behind the broader capitalization of the Altcoin market.
For example, Ether (Eth) rose 51% in the same three -week period, while XRP jumped by 41%. So even though Sol is now close to its highest level in five months, around $ 190, entrepreneurs do not show strong excitement.
SOL requires network growth and a strengthening of emotions to reach $ 260
While bullish leveraged positions are not strictly required for Sol to recover the $ 260 level, without updating confidence, the sale of pressure can continue. Sol’s performance continues to depend on Solana’s network activity, which remains 85% below January levels.
In the bright side, Solana’s network fees rose 27% in the last 30 days, while many competitors have seen a disadvantage or steep decline. For example, the BNB chain, recorded a 30% collapse on fees, and base, the lead Ethereum Layer-2Saw a 19% decline.
Solana formed $ 32.9 million on network fees for 30 days, with $ 12 billion in total amount locked (TVL). In comparison, the Ethereum holds $ 91 billion in deposits, according to Defillama. These figures promise for Sol holders, given that the staking yield is closely tied to the network revenue.
Sol futures are neutral: the bear phase is over
To measure if professional traders are warming up the idea of a rally up to $ 260, it is worth checking the monthly Futures market. Under neutral market conditions, these contracts usually trade at a 5% to 10% premium at area prices, providing longer periods of regulating.
On Monday, Sol’s 3-month futures premium reached a neutral level of 6% for the first time in five months. Noteworthy, the failed breakout attempt above $ 200 on Wednesday did not affect the entrepreneurs’ views. While the mood is still far from bullish, this change marks a clear removal from the previous emotion.
Related: Solana co-founder calls
Investors are closely watching for the potential approval of many areas exchanged by the US Securities and Exchange Commission (SEC) exchange (ETF) exchange funds. Such a move can unlock institutional demand, reflecting Ether ETF’s success and developing existing products such as Rex-OSPray Sol staking ETF (SSK).
Registered under the Investment Company Act of 1940, the SSK ETF does not require a standard SEC S-1 filing. Since launching on July 2, it has accumulated $ 130 million in property under management. Due to Solana’s strong network activity and growing expectations for an ETF approved in the US, the possibility of up to $ 260 in the short time will appear strong.
This article is for general information purposes and is not intended to be and should not be done as legal or investment advice. The views, attitudes, and opinions expressed here are unique and do not necessarily reflect or represent the views and opinions of the cointelegraph.
