Solana’s on-chain activity is picking up as the SOL prices are recovering after hitting the support level at $60. Now that SOL is approaching the 50-day moving average, resistance could build, but if it crosses this level, there will be more upside. As the markets are slowing moving out of extreme fear with geopolitical tension subsiding, SOL price could crash past the 50-day moving average at $76
SOL recovers and approaches 50-day moving average
Solana (SOL) is currently approaching a major resistance level, which is the 50-day moving average, after hitting support at $60. Solana’s buildup toward this resistance level coincides with on-chain address activity hitting a 4-month high.
The new rally, where SOL price is making higher highs and higher lows, seems to be coming off well. The relative strength index (RSI), which gauges the strength of the trend, shows that there is momentum behind this new rally.
Tokenized equities hit a 4-month high on Solana network
The main reason for the rally to show strength is the blooming on-chain activity, as mentioned in the above post. The active addresses on Solana hit 4.5 million, a new 4-month high, courtesy of tokenized equities like Xstocks.
A surge in Solana’s active addresses indicates a significant increase in on-chain participation, with more unique wallet addresses interacting with the network through transactions, decentralized applications, token transfers, or trading activity.
This suggests growing network usage and stronger user engagement, which is generally a positive sign for the ecosystem. If the increase is accompanied by rising transaction volumes, DEX activity, and network revenue, it can point to strengthening demand for the blockchain and support a bullish outlook for SOL. However, active addresses alone do not confirm organic user growth, as the metric can also be influenced by automated bots, airdrop farming, or users operating multiple wallets.
SOL could go past $75 as markets come out of extreme fear
With the US and Iran finally agreeing to a ceasefire and opting for discussion about the Strait of Hormuz, the crypto market is slowly moving out of extreme fear.
The above fear and greed index indicator, which gauges the sentiment of the market, shows investors and traders moving out of extremes. When they move out of extreme fear, they are more likely to take risks and invest in risky assets like crypto. And as far as SOL is concerned, this means that there is a high chance that the price could cross above the $75 psychological resistance and the 50-day moving average. However, Solana might not hit an all-time high according to analysts.
