Solana (SOL) has experienced a 12% price increase over the past week, attributed to several key metrics indicating further growth potential. The Relative Strength Index (RSI) has fallen to 61 from levels above 70, moving out of the overbought territory, which suggests less immediate selling pressure and more room for upward movement.
Notably, activity on Pumpfun, a significant application within Solana's ecosystem, shows record engagement, further propelling user interaction and ecosystem growth. An upsurge in Pumpfun's coin launches, accounting for a large portion of daily DEX transactions, could drive SOL's price higher as was observed in previous months.
SOL is trading above all EMA lines, displaying strong bullish momentum. Shorter-term EMAs remain above the longer ones, suggesting a positive trend continuation. Support at $165.37 and $147.55 is crucial for maintaining this trajectory, with $194.04 as a potential future price target if SOL breaks above $182.46.
These indicators collectively support a favorable outlook for Solana, establishing a foundation for further price increases amid robust buying trends and ecosystem participation.
