Memecoins and USDC surged…Will Solana (SOL) reignite?

▲ Solana (SOL) ©CoinReaders

The rise of Solana without a distinct single positive catalyst is analyzed to be a result of improved macroeconomic conditions and simultaneous network fund inflows.

According to CoinMarketCap, a cryptocurrency market data aggregator, on April 11 (local time), Solana (SOL) rose 1.65% over 24 hours to reach $84.26, showing a similar trend to Bitcoin's 1.56% rise during the same period. This is interpreted as a movement with a strong 'beta rise' characteristic, aligning with the overall market's upward trend rather than individual issues.

The primary background for the rise is changes in the macroeconomic environment. As geopolitical tensions eased with the ceasefire agreement between the US and Iran on April 7, concerns about oil prices and inflationary pressure decreased, leading to an inflow of funds into the overall cryptocurrency market. The total market capitalization also increased by 1.28% during the same period, showing a corresponding upward trend.

In addition, internal ecosystem flows also showed positive signs. Along with the surge in memecoins, approximately $10.5 billion worth of USDC was issued on the Solana network over the past month, expanding liquidity inflows. Trading volume also surged by 196% to reach $14.11 billion, supporting the price increase.

Technically, $86, where the 50-day simple moving average is located, is acting as a key resistance level. This zone has continuously limited upward movements since March, and if this level is broken, further upside potential to $95 is discussed. Conversely, if it fails to break through, there is also a possibility of retesting the $79 to $75 range.

The short-term outlook is assessed as cautiously bullish. The direction of Bitcoin, along with whether $86 is broken, is considered a key variable, and analysis suggests that if an upward movement accompanied by trading volume continues, it could lead to a trend reversal signal.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*