TLDR
- SOL trading around $173, down 4.7% in 24 hours but showing bullish technical indicators
- Solana formed a bullish flag pattern with support at $172 on hourly chart
- VanEck’s inclusion of Solana in Multi-Chain Treasury Fund enhances institutional reputation
- Technical analysis shows Solana broke above the Ichimoku Cloud, signaling possible trend reversal
- Elliott Wave analysis suggests potential target as high as $360 if support holds
Solana has recently experienced a price correction, trading at approximately $173 after a 4.7% drop in the past 24 hours. Despite this short-term dip, technical indicators and institutional developments suggest a potentially bullish outlook for the cryptocurrency.
The price movement shows SOL formed a base above the $155 support zone before starting a fresh increase. It gained momentum to move above the $160 and $165 resistance levels, similar to Bitcoin and Ethereum’s recent movements.
A high was formed at $184.75 before the price corrected some gains. The price dipped below $180 and $178, falling below the 50% Fibonacci retracement level of the upward move from the $166 swing low to the $185 high.
Bulls remain active above the $172 level and the 61.8% Fibonacci retracement level. Technical charts show a short-term declining channel or bullish flag pattern forming with support at $172 on the hourly chart.
On the upside, SOL faces resistance near $178. The next major resistance levels are at $180 and $185. A successful close above $185 could set the pace for another steady increase, with the next key resistance at $192.
Institutional Adoption Boosts Credibility
VanEck’s inclusion of Solana in its Multi-Chain Treasury Fund has raised the cryptocurrency’s institutional profile. The fund, called VBILL, is a tokenized U.S. Treasury fund operating across several blockchains including Solana.
🚨BREAKING: @vaneck_us has launched $VBILL, its first tokenized U.S. Treasury fund, on @solana and three other chains. Tokenized by @Securitize with cross-chain interoperability enabled by @wormhole .
pic.twitter.com/EUBMNuVLCt— SolanaFloor (@SolanaFloor) May 13, 2025
The minimum investment for Solana-based exposure is $100,000, compared to $1 million on Ethereum. This positions SOL as one of the selected platforms for institutional capital flows alongside Ethereum, Avalanche, and BND Chain.
Kyle DaCruz, Director of Digital Assets Product at VanEck, highlighted that tokenized funds like VBILL improve market liquidity and efficiency. This development comes as the larger tokenized asset market approaches a $3.5 billion capitalization.
Industry experts note that VanEck’s choice to include Solana represents a calculated recognition of the network’s effectiveness and growing institutional appeal. The VBILL launch aligns with BlackRock’s BUIDL program and positions tokenized treasuries as fundamental infrastructure for cryptocurrency adoption.
Technical Signals Point to Potential Upside
Solana has broken above the Ichimoku Cloud on the daily chart following weeks of sideways trade. This technical pattern typically indicates a trend reversal. Positive momentum indicators, especially the Moving Average Convergence Divergence (MACD), have accompanied this important change in market structure.
The MACD has recently achieved a bullish crossover, with both the MACD line and signal line currently above the zero level. This double confirmation reinforces the case for positive momentum, though analysts note that consistent volume is needed to turn this breakout into a lasting trend.
Recent technical evaluations show Solana has passed immediate resistance around $164 and appears to be preparing for a move toward the next major resistance level at $211.
In the derivatives market, Solana’s perpetual futures have maintained positive taker CVD (Cumulative Volume Delta) for 83 consecutive days—the longest such run since the 2021 bull market. This extended period of derivatives optimism contrasts with SOL’s spot price, which remains about 30% below its most recent top.
If SOL fails to rise above the $180 resistance, it could start another decline. Initial support is near the $172 zone, with major support at $170. A break below $170 might send the price toward the $162 zone, and falling below $162 could lead to a decline toward $150.
Elliott Wave analysis reveals Solana’s recent movement forms a “five-wave pattern” that could signal the start of a more significant impulse wave. Under this scenario, the current structure could eventually approach $360 or higher. However, a daily close below $172 would suggest a price top has formed.
The short-term price action shows some weakness, but the combination of institutional adoption, technical breakout, and favorable derivatives sentiment creates a strong case for a possible bullish continuation in the near future.
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