- Solana records over 64.5 million transactions, with 3.07 million returning users over the last 24 hours.
- The altcoin price action remains muted below $180 despite rising on-chain momentum.
Solana’s [SOL] network has seen a big jump in activity. Over 64.5 million transactions went through and 3.07 million returning users were recorded in the last 24 hours, according to DefiLlama data.
The sharp increase in its network activity indicates growing user engagement across the ecosystem, alongside a renewed interest despite the broader market uncertainty.
But despite the staggering network surge, the activity peak has not been followed by equivalent short-term price bullish action.
Source: DefiLlama
Solana spot volume lags behind
Solana’s spot volume has remained largely unaffected all along. At press time, CryptoQuant’s Spot volume bubble map data showed cooling signals.
This indicated a potential a disconnect between user engagement and investor conviction, as the increasing network activity tremors are yet to be depicted in the spot market.
Source: CryptoQuant
Analysts suggest that while rising network metrics are encouraging, SOL needs to confirm the trend through a technical breakout.
At the time of writing, the price continued to consolidate while trading below a key resistance at $180. The daily chart was on the verge of forming an inverted head and shoulder pattern.
If Solana bulls do not step up soon, a fall to $106 could be on the horizon.
Key resistance level holds the bullish key
A decisive breakout above the $180 level remains critical for invalidating the bearish undertones and confirming a bullish reversal. Until then, the market may remain cautious and cooled.
If Solana fails to breach the resistance, the ongoing surge in network activity may be dismissed. This could depict the network growth as a momentary spike rather than a curtain-raiser for a broader rally.
Source: TradingView
The gap between Solana’s on-chain strength and price action highlights the need for confirmation before a bullish rally takes hold.
While the fundamentals suggest increasing confidence and utility on the network, the technical structure must shift to bullish first.
For now, the $180 price level mark the boundary wall between bulls and bears dominance. A break above it could invalidate the inverse head and shoulder pattern for a potential Solana long term rally.
Credit: Source link