While Solana (SOL) has recently seen its price remain stable around $168, a deeper look suggests the cryptocurrency could be on the verge of a major price increase, driven primarily by institutional interest.
Several major companies are accumulating significant amounts of SOL. For example, DeFi Growth has added over 110,000 SOL in a single week, bringing its total to 1.29 million SOL. Additionally, public companies like Artelo Biosciences and Upexi Inc. are using Solana to build their corporate treasuries. This indicates that institutions are beginning to treat SOL as a long-term asset, similar to Ethereum.
Despite this institutional buying, retail traders appear hesitant. While spot netflows had been negative, they recently turned positive this week, suggesting some profit-taking. Furthermore, leveraged traders are heavily shorting SOL in the $170 to $187 range. If the price breaks through these resistance levels, it could trigger a "short squeeze," causing a rapid price increase.
Analysts believe that if this institutional buying continues and retail traders join in, Solana's price could rally by as much as 52% from its current level, with key resistance zones at $194, $218, and $257. For this to happen, the buying momentum needs to overcome the current bearish sentiment. The Bull-Bear Power indicator shows bears are still in control, but the gap is narrowing, suggesting a shift could be coming.
August 2025, Cryptoniteuae