Solana (SOL) has entered a crucial zone as the price tightens near the $200 support level. The recent pullback in crypto markets, which pushed Bitcoin below $112,000, has also put pressure on Solana. Despite the bearish sentiment, bulls remain active around this key support. Related Reading: XRP Price Chatter Heats Up After Developer’s $4 Hint – Details Trading volumes have surged past $12 billion within 24 hours, indicating strong participation from both buyers and sellers. Analysts point out that a drop below $200 could trigger liquidity-driven volatility, but any decline might also serve as a springboard toward $250 in the near term. The daily chart shows SOL consolidating within an ascending channel, with RSI cooling to neutral territory. If the midline support around $210 holds, a retest of $250 remains a possibility. SOL's price trends lower on the daily chart. Source: SOLUSD chart on Tradingview Institutional Confidence and Treasury Growth While short-term volatility weighs on the Solana price, institutional adoption continues to strengthen its long-term outlook. Roughly 590,000 SOL, worth over $120 million, has been added to portfolios in the past month. Corporate staking commitments now exceed 8.27 million SOL, equating to more than $1.7 billion. This growing treasury activity is no accident. With staking yields averaging 7%–8%, Solana offers businesses a more lucrative reserve strategy than Bitcoin, which provides no yield, and Ethereum, which averages around 3%–4%. Nasdaq-listed firms like DeFi Development Corp. and Fragmetric Labs have even launched Solana-focused treasuries in South Korea, further strengthening the network’s appeal as a corporate asset. Adoption Beyond Solana Price Action Adoption cycles are increasingly positioning Solana as a competitor to Bitcoin and Ethereum. Payment giants like Stripe and PayPal are integrating Solana into their systems, reflecting confidence in its speed and low-cost efficiency. Forward Industries has taken a further step, announcing plans to tokenize its public equity directly on Solana’s blockchain, a move that signals the merging of traditional finance with decentralized technology. Despite lacking an exchange-traded fund (ETF), Solana’s fundamentals suggest strong upside potential. Analysts believe that if SOL closes above $250, the token could target $300 before year-end. With institutional portfolios still holding less than 1% of Solana’s supply, the room for growth remains significant. Related Reading: Bitcoin Price Could Still Crash To $99,000 If This Happens, Warns Ostium Labs For now, all eyes are on whether Solana can defend the $200 support. A short-term dip may be inevitable, but with adoption accelerating and treasuries expanding, the long-term narrative suggests that Solana’s challenge to Bitcoin is only beginning. Cover image from ChatGPT, SOLUSD chart from Tradingview
