Why is Solana (SOL) price up today?

Solana (SOL) terms is up today, buoyed by a important betterment successful the broader cryptocurrency market.

Data from Cointelegraph Markets Pro and TradingView shows SOL’s terms is trading astatine astir $134, up much than 6% successful the past 24 hours. Solana terms has rebounded astir 20% from its section debased of astir $112 reached connected March 11.

SOL/USD regular chart. Source: Cointelegraph/TradingView

Several factors driving the SOL terms up today, including:

• SOL terms rally comes pursuing the motorboat of the archetypal Solana futures ETF.

• Approximately $18 cardinal successful shorts were liquidated implicit the past 24 hours. 

• SOL’s strengthening technicals people is $220.

Launch of Solana futures ETF boosts SOL price

Today’s debut of Solana futures exchange-traded fund (ETF) by Volatility Shares has injected caller enthusiasm into SOL investors. 

— Cointelegraph (@Cointelegraph) March 19, 2025

Key takeaways:

• Volatility Shares, a US-based concern firm, is acceptable to motorboat the first-ever Solana futures ETFs connected Thursday, March 20. 

• A filing with the Securities and Exchange Commission (SEC) reveals that 2 Solana-based ETFs issued by Volatility Shares ETFs volition statesman trading connected Thursday, March 20.

• These see Solana ETF (SOLZ), which volition way Solana futures and the Volatility Shares 2X Solana ETF (SOLT), which offers leveraged exposure.

• SOLZ volition person a absorption interest of 0.95%, portion traders volition beryllium charged 1.85% for SOLT.

• The ETFs, pursuing a way akin to Bitcoin and Ethereum futures products, awesome increasing organization acceptance and supply easier entree for accepted investors.

• Market participants judge that the motorboat of these funds could beryllium important successful the approval of a spot Solana ETF.

• Several issuers, including Grayscale, Franklin Templeton and VanEck, person applied for spot Solana ETFs, which are yet to beryllium approved by the SEC. 

• Bloomberg ETF analysts believe determination is simply a 75% chance of support by this year’s end.

• Analysts spot this arsenic a regulatory greenish light, boosting assurance successful Solana and crossed the broader market.

“​​Solana ETF dropping close aft BTC/ETH ETFs? The TradFi gates are opening wide,” said crypto expert Kolin successful a March 19 station connected X.

“Futures are conscionable the commencement - spot ETF inevitable. $SOL's conscionable warming up and the Solana ecosystem’s astir to get flooded with organization liquidity.”

“This is wild,” asserted Bloomberg Senior ETF expert Eric Balchunas successful effect to the developments, adding that it is astir apt a bully motion arsenic Solana futures “arguably bode good for spot ETF odds.”

Short liquidations propulsion SOL terms higher

Solana’s terms emergence connected March 20 is accompanied by important liquidations successful the derivatives market, according to data from CoinGlass. 

• The crypto futures marketplace witnessed the liquidation of implicit $359 cardinal worthy of leverage positions successful the past 24 hours, with $258.7 cardinal being abbreviated liquidations.

• Over $18.64 cardinal abbreviated SOL positions person been liquidated against $3 cardinal agelong liquidations implicit the aforesaid period.

Total crypto liquidations. Source: CoinGlass

• Bearish traders’ abbreviated positions are automatically closed erstwhile the terms exceeds their liquidation price, which tin substance the rally further.

Furthermore, the SOL terms gains travel a betterment successful its funding rates.

•  SOL’s 8-hour backing rates person flipped affirmative from -0.0050% connected March 19 to 0.0049% connected March 20, arsenic shown successful the illustration below.

SOL backing rates performance. Source: CoinGlass

• A emergence successful backing rates indicates accrued request for agelong positions and accrued involvement among SOL traders.

Related: ‘I americium ashamed’ — Solana CEO breaks soundlessness implicit arguable advertisement backlash

Can SOL terms signifier a betterment to $220?

SOL inactive trades good beneath its scope precocious of $220 reached connected Feb. 5. However, the bulls person established enactment astir $110 and $125 astatine the precocious bound of a descending channel.

The regular relative spot index (RSI) has recorded higher highs since March 10 with nary divergence, indicating that the upward momentum remains strong.

XRP/USD regular chart. Source: Cointelegraph/TradingView

The adjacent contiguous obstruction sits astatine $140, which, if broken, SOL terms would emergence higher to face absorption from the $165 to $190 proviso zone—this is astir wherever each the large moving averages sit.

Bulls volition beryllium required to flip this country into enactment to summation the chances of rising toward $220, wherever the terms could intermission for a while.

According to expert Cryptobits, SOL’s caller debased astatine $112 marked the section bottommost for the altcoin. He added that Solana’s fundamentals stay strong, with expanding “investment interests from institutions” supporting its upside.

“With each the supra remaining intact, I spot $SOL returning supra $200 and yet breaking its ATH precocious astatine $296.”

This nonfiction does not incorporate concern proposal oregon recommendations. Every concern and trading determination involves risk, and readers should behaviour their ain probe erstwhile making a decision.