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Solana (SOL) investors were disappointed after the coin experienced a massive decline from its all-time high (ATH) of $264 in November. Recent metrics indicate Solana could witness a rebound to new price levels.
Open Interest and market impact
Data from CoinGlass reveal that Solana’s Open Interest figures hold hope for those in the ecosystem.
Solana’s Open Interest in the last 24 hours dipped by 2.79% and 0.53% in the last hour. The total Open interest now stands at 25.43 million SOL, valued at $5.31 billion within the period under consideration.
Tomiwabold OlajideThis signals that traders, after a disappointing price crash, have commenced active purchases of the asset. This could suggest bullish anticipation of a price rebound in the coming days. It also indicates that traders are betting on SOL’s future price at a mildly bullish pace.
The CoinGlass data shows increased market activity within Binance, Bybit, Bitget and OKX. Of these four, Binance and Bybit lead with $1.9 billion and $1.37 billion in SOL Open Interest, respectively.
The other two have figures above the half-billion mark but still less than $1 billion.
Price and volume boost confidence
As of this writing, SOL is trading at $204.87, but a noticeable surge from its previous low of $200, which it traded earlier in the day. However, the market volume has increased significantly by 16.28% to $7.08 billion, increasing investors’ confidence in the prospect of Solana.
According to a U.Today report, Solana’s ability to rise above its current level has a chance of further price growth. Despite the increasing market volume, SOL needs to stay above the $196 support level to retest its previous local highs.
Analysts anticipate that tackling congestion challenges on the network with innovative projects might trigger a Solana rebirth. Overall, the increased transaction throughput could turn things around for SOL as investors anticipated broad recovery.
Tomiwabold Olajide
Dan Burgin
Alex Dovbnya
Vladislav Sopov