Solana, which is referred to as ‘the most scalable’ chain by its team, doubled its block space, making the chain even faster. As Solana makes these upgrades, the ETF inflows have started to accelerate, and SOL has recovered the 50-day MA.
Solana scalability increases by 4x
Solana has made some significant changes, which have made the most scalable chain even more scalable, according to Mert Mumtaz, a prominent figure in the Solana ecosystem. Mumtaz stated that the block space has been doubled from 48 million compute units to 100 million compute units. And this means, “Technically, you can now pack more economic activity and more interesting things into each block,” says Mumtaz.
In addition to this, “Solana’s block times are 400 milliseconds, but they’re being reduced to 200 milliseconds. It’s getting twice as fast while supporting twice as much activity, which is a fourfold increase.”
Solana has more block space and less block time
More block space combined with reduced block time directly improves a blockchain’s throughput and scalability. Larger blocks allow more transactions to be included in each block, while shorter block times mean new blocks are produced more frequently. Together, these changes significantly increase the number of transactions the network can process over a given period.
For example, if a network doubles its block capacity while cutting block time in half, its theoretical transaction-processing capacity could increase by roughly 4×, assuming validators and network infrastructure can handle the additional workload. This can reduce congestion, lower transaction waiting times, and allow the blockchain to accommodate greater demand without sacrificing speed.
With these improvements, funds have started to flow into SOL ETF. About $9 million is flowing into the SOL ETF, and these levels were last seen during mid-May.
SOL recovers 50-day MA
With all the fundamental developments taking place, the confidence of the community in Solana has improved. The inflow of funds into the SOL ETF is one aspect that shows the market sentiment towards Solana.
When looking at the price chart above, SOL has recovered above the 50-day MA, which is a short-term indicator. When a token recovers this position, it is a bullish sign, as there will be much resistance at this level. As such, if the coin has the strength to push through all this resistance and rise above, it means the bulls are in control.
In addition to this, the coin seems to have just broken out from a symmetrical triangle pattern, which could produce a breakout in either direction. However, a breakout upwards shows that the bulls have taken the upper hand in the market.
