Solana Surges 6% on Bullish Reversal and DeFi Demand

05/20/2025 20:23
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Solana Surges 6% on Bullish Reversal and DeFi Demand

SOL shows strong momentum with institutional buying signals despite brief correction.

The cryptocurrency market continues to respond to broader economic factors as Solana demonstrates resilience amid global trade uncertainties. SOL's price action formed a clear uptrend with higher lows and higher highs, breaking through key resistance levels with institutional-grade volume suggesting accumulation despite a brief 1.35% correction in recent hours. Meanwhile, analysts point to the $166.82 level as a crucial short-term pivot, with potential for significant upward movement if SOL can maintain momentum above $177 resistance.

Technical Analysis Highlights

  • SOL climbed from a low of $159.69 to a high of $173.03, representing a significant range of $13.34 (8.35%).

  • Price action formed a clear uptrend with higher lows and higher highs, breaking through key resistance at $166.87.

  • Above-average volume was observed around the $167-$170 zone, indicating strong buyer interest.

  • Notable support established at $160.34, where buyers stepped in with conviction during early hours.

  • Final four hours showed accelerated momentum with volume spikes exceeding the 24-hour average, suggesting institutional accumulation.

  • A brief downward correction occurred in the last 60 minutes, falling from $172.19 to $169.87 (1.35% decline).

  • The $170.00 psychological level briefly acted as support before failing.

  • Final 30 minutes showed decreasing volatility and volume, potentially indicating exhaustion of selling pressure.

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