SOL/USD Daily Chart (Coinbase) – Source: TradingView
Nonetheless, SOL is bouncing strongly off a key support at $175, which is still relevant from a technical standpoint, especially upon considering the strength of today’s gains.
If the token stays above this mark in the next few days, we could witness another push toward the $200 level in the near term. The Relative Strength Index (RSI) confirms this bullish outlook as it climbed above the 14-day moving average.
Ideally, SOL should play catch-up with ETH and BNB in the long term to reach a new all-time high during this cycle. However, its ecosystem needs to show that it can continue to grow beyond meme coins.
Growing Institutional Adoption Favors Bullish Outlook for Solana
As institutional adoption rises, titans like Fidelity could deepen their footprint in the crypto world to provide services to these big investors that are taking advantage of an increasingly positive regulatory environment to dip their toes in the crypto market.
The Solana ecosystem is known for being the home of millions of meme coins, many of which are among the most popular and valuable in the world.
Platforms like Pump.fun and Raydium’s LaunchLab allow users to mint these tokens in a heartbeat and launch them to the open market to compete.
Despite the growing popularity of these protocols, the Solana blockchain has experienced lackluster ecosystem growth, possibly as Ethereum strengthened its network through the Pectra upgrade, while BNB Chain has been investing millions to attract developers and traders.
That said, apart from ETH, the REX-Osprey Solana + Staking ETF (SSK) is the largest vehicle linked to an altcoin, with nearly $400 million in assets under management.
Today’s pad in the back by Fidelity could pave the way for further institutional adoption, which supports a bullish Solana price prediction.
