Solana Tests $90 as ETF Inflows and On-Chain Activity Strengthen Momentum

Solana (SOL) traded near $88.93 on Friday, up 1.27% over the past 24 hours and 4.91% on the week, as strong on-chain activity and growing institutional participation helped underpin a steady recovery attempt. With a market capitalization around $51.1 billion, SOL held its position as the seventh-largest cryptocurrency while repeatedly probing the psychologically important $90 level.

The latest move has been supported by derivatives positioning across the broader crypto market. In recent days, more than $20 million in SOL short positions were liquidated as price action tightened near resistance. Across the wider digital asset complex, roughly $300 million in short liquidations added fuel to the rebound, a dynamic that typically accelerates upside momentum when bearish leverage is forced out of the system.

Network activity hits a new quarterly record

Solana’s fundamental backdrop has also strengthened. Blockchain data cited in the report shows the network recorded an all-time high of approximately $1.1 trillion in quarterly network activity in Q1 2026, a 29% increase from $850 billion in Q4 2025. Transaction throughput remained heavy, with about 25.3 billion transactions processed during the quarter, while active addresses peaked in the 6.5 million to 7 million range.

Token economics metrics are being highlighted as an additional stabilizer. Around 68% of circulating SOL is staked, supporting network security while limiting liquid supply. With Solana’s fee-burning mechanism reducing supply growth, net inflation is estimated at roughly 4.7%, a level market participants often view as more manageable for long-term valuation models than higher inflation regimes.

Developers are also pointing to performance upgrades aimed at reinforcing Solana’s positioning as a high-throughput Layer 1. The recent public beta release of DoubleZero Edge is designed to deliver ultra-fast on-chain data feeds—an infrastructure enhancement that could strengthen the network’s appeal for latency-sensitive applications such as DeFi and on-chain trading.

Institutional holdings and ETF inflows gather pace

Institutional interest is showing up in both direct holdings and fund flows. DeFi Development Corp added 2.22 million SOL to its treasury by the end of March, the report said—worth roughly $197 million at current prices—underscoring a growing willingness among corporates and asset managers to hold SOL as a strategic balance-sheet asset.

ETF demand has also been building. Solana-focused ETFs saw net inflows of about $1.3 million on April 14 and $11.5 million on April 10, pushing cumulative inflows past $1 billion, according to the figures cited. The latest rebound in flows was described as the strongest in roughly a month, with Solana and Chainlink among the leading drivers of 'altcoin ETF' allocations.

The combination of retail participation and institutional inflows is widely viewed as a key pillar behind SOL’s current attempt to clear $90—an area that has repeatedly acted as a supply zone in recent sessions. Market watchers say sustained inflows could provide the liquidity needed to convert that resistance into support, though conviction will depend on follow-through in volumes and broader risk appetite.

Technical backdrop: momentum building, but volatility risk remains

From a technical perspective, momentum indicators suggest SOL is not yet overheated. The relative strength index (RSI) was reported around 55–56, typically interpreted as a mid-range reading that leaves room for further upside before entering classic 'overbought' conditions. Price action has also started to tilt away from a prolonged consolidation pattern, with SOL advancing roughly 4% to 5% in the $88–$90 band as it presses against resistance.

Some analysts referenced in the report see a possible path toward $120 if SOL can post a clean breakout above $90. At the same time, they cautioned that sharp extensions near major levels often bring elevated volatility and the risk of a short-term pullback if leveraged positioning rebuilds too quickly.

Spot activity remained robust even as volumes eased slightly. SOL’s 24-hour trading volume was reported around $6.2 billion, down 1.12% from the previous day but still elevated relative to typical ranges during quieter market periods.

Returns remain mixed across time horizons

Performance metrics underline that Solana’s recovery is still a work in progress. The 60-day return stood near 1.6%, while the 30-day return was slightly negative at about -1.15%. Over 90 days, SOL remained down roughly 37.5%, reflecting a deeper drawdown from late-2025 highs and the lingering impact of the broader altcoin correction.

Solana’s market share was estimated around 1.96%, with a fully diluted valuation (FDV) near $55.5 billion. Supply figures cited in the report put circulating supply at roughly 575.38 million SOL and total supply around 624.65 million SOL, while an alternative self-reported circulating count suggested 525.24 million SOL and a corresponding market capitalization near $46.7 billion—highlighting the importance of methodology when comparing valuation datasets.

While regional price differences were described as minimal—suggesting tight global market linkage—near-term attention remains on whether SOL can decisively reclaim $90. A confirmed breakout would reinforce the narrative of 'institutional demand' meeting strong network usage, but traders are also watching for signs that the rally is being driven primarily by liquidation dynamics rather than sustained spot accumulation.

For now, Solana continues to position itself as a major Layer 1 platform, expanding across DeFi, NFTs, and gaming. The next decisive move is likely to hinge on whether on-chain strength and ETF inflows persist long enough to overcome a well-defended technical ceiling.