The Solana (SOL) blockchain has seen a resurgence in liquidity over the past month, with over $120 million bridged from other blockchains to Solana. This influx of liquidity indicates a renewed confidence in the network among crypto market participants. According to data from Debridge, the highest amount transferred came from Ethereum (ETH) at $41.5 million, followed by $37.3 million from Arbitrum. Additionally, users on Base, BNB Chain, and Sonic moved $16 million, $14 million, and $6.6 million, respectively, to Solana.

This increase in liquidity comes after Solana faced challenges following the Argentina LIBRA memecoin scandal, which led to investors moving $485 million to other blockchains like Ethereum and BNB Chain. However, the recent liquidity influx to Solana aligns with the resurgence of double-digit price rallies from memecoins such as POPCAT, FARTCOIN, BONK, and WIF, which saw significant price increases in the past seven days.

Despite the positive liquidity trend, an analysis of Solana's fees shows a decline in revenue generation compared to previous months. While fees peaked at over $400 million in January 2025, the total generated fees for March were just under $46 million. In April, the total fees generated are around $22 million.

From a technical perspective, Solana's price remains under the $140 level, with the 50-day exponential moving average acting as a strong resistance. The current bearish trend on the 1-day chart indicates that SOL needs to close above $147 to signal a bullish trend shift. On lower time frames, Solana has exhibited bearish divergences between the price and the relative strength index (RSI) indicator, signaling a potential correction period.

Glassnode recently reported a significant shift in Solana's realized price distribution, with over 32 million SOL bought at the $130 level in the past few days, representing 5% of the total supply. This suggests that $130 could serve as a strong support level in the future. The analysis also highlighted key price levels to watch, with $144 potentially acting as resistance and $117 as the lower bound of the price range, while $129 serves as the key pivot zone.

In conclusion, the increased liquidity to Solana reflects growing confidence in the network, despite recent challenges. Traders and investors are closely monitoring technical indicators and price levels to gauge the potential for a

Source: https://cointelegraph.com/news/solana-network-inflows-surge-will-sol-price-follow?utm_source=rss_feed&utm_medium=rss&utm_campaign=rss_partner_inbound