Solana (SOL) is once again making waves in the crypto market, showing strong technical indicators that suggest a shift in investor sentiment. With SOL recently climbing past a key resistance level and printing back-to-back weekly green candles, market analysts are increasingly optimistic about its potential to break higher. As speculation grows around a possible Golden Cross, the question turns from “if” to “when” Solana could hit the much-anticipated $200 milestone.

Solana Shows Signs of Bullish Revival

In the past few weeks, Solana has defied bearish expectations. After a volatile start to the year, the token has begun to stabilize and is now trending upward, hinting at a broader market shift. The current price action suggests that bulls have regained control, and this momentum could carry SOL into a new rally phase.

One of the most notable developments is the formation of a second consecutive weekly bullish candle—an indicator often associated with the start of sustained upward trends. This pattern has raised renewed optimism among traders who had previously been cautious due to earlier sell-offs.

Q1 Performance Highlights Solana’s Strength

Despite recent fluctuations, Solana has shown impressive performance metrics in the first quarter of 2025. It led all blockchain networks in decentralized exchange (DEX) trading volume, capturing a dominant 39.6% market share. In January alone, Solana accounted for 52% of total DEX volume, significantly outpacing competitors.

However, this momentum faced a slowdown in mid-March, when daily trading volume dropped below $1 billion after peaking at $35.9 billion earlier in the year. Fortunately, by the end of Q1, Solana had rebounded to over $2.5 billion in daily DEX volume, closing the gap with Ethereum and reaffirming its strong market position.

Changing Investor Behavior and Market Dynamics

One possible reason for Solana’s temporary slowdown was a shift in investor focus. As market participants moved away from speculative coins and toward more stable, utility-based tokens, SOL’s immediate price growth stalled. Yet this shift may benefit the network in the long run, as developers and investors begin to focus more on fundamentals and long-term utility.

Institutional activity around Solana has also drawn significant attention. In recent weeks, Galaxy Digital was seen withdrawing over $77 million in SOL from centralized exchanges. At first, this move fueled fears of a potential dump. However, on-chain data later revealed that over 460,000 SOL had been staked in just four days—indicating confidence rather than retreat.

Technical Indicators Turn Bullish

Several technical signals are now pointing toward a strong bullish reversal for SOL. Notably, Solana has broken out of a descending parallel channel that previously capped its upward movement. This breakout is often viewed as a precursor to a larger price surge, especially when followed by sustained buying pressure.

The Supertrend indicator, which had remained bearish since February, has flipped to bullish—confirming a shift in momentum. Similarly, the Ichimoku Cloud has produced a bullish crossover, reinforcing the positive outlook.

Adding to the optimism, Solana’s price has now established solid support at the 50-day moving average. If the current trajectory continues, the 50-day MA could soon cross above the 200-day MA, forming a technical pattern known as a “Golden Cross.” This crossover is widely regarded as one of the strongest bullish indicators in technical analysis.

Path to $200: What Needs to Happen

To form a Golden Cross and ignite the next stage of its rally, SOL would need to continue its current uptrend and gain at least 30% from its present level to reach $150. Once this level is broken with strong volume, analysts suggest the token could rally toward $200—potentially before the end of the first half of 2025.

This trajectory would require not only sustained market enthusiasm but also continued growth in network activity, user adoption, and developer engagement. Fortunately for Solana, it has a strong ecosystem and an expanding user base, both of which could support such a move.

Looking Ahead: What Can Investors Expect?

As 2025 unfolds, the broader crypto market appears to be entering a more mature phase, where long-term utility and solid fundamentals are taking precedence over hype and speculation. This environment could work in Solana’s favor, especially given its recent performance and technical signals.

While short-term volatility remains a possibility, the medium-to-long-term outlook for SOL is increasingly positive. With a potential Golden Cross on the horizon and growing institutional interest, the stage is set for Solana to retest—and possibly surpass—its previous all-time highs.

Conclusion

Solana’s recent rebound and technical strength are reviving hopes for a significant price breakout. If current momentum holds, a Golden Cross could soon form, propelling SOL toward the $200 mark. With solid on-chain activity, growing institutional confidence, and bullish technical indicators, Solana may be one of the top altcoins to watch in 2025.