Solana (SOL) price prediction: $1 billion liquidity surge lays the foundation for testing $250.

Solana (SOL) has shown strong performance recently, steadily recovering alongside other alts. After on-chain Liquidity surpassed the 1 billion dollar mark, the market's bullish sentiment has significantly increased. Experts analyze that Solana is currently consolidating between 200 dollars and 220 dollars, and if it can effectively break through the key resistance level of 220 dollars, its price is expected to move towards the short-term target of 250 dollars.

Bullish Outlook and Key Drivers

The current rise of Solana is built on multiple positive factors:

• Liquidity Milestone: On-chain liquidity has surpassed $1 billion, which not only indicates an increase in trading activity but also suggests that new capital, especially institutional funds, is continuously flowing into the Solana ecosystem, providing additional support for price rise.
• Technical Upgrade: The market's bullish sentiment towards the Alpenglow upgrade, along with the significant increase in transaction speed it brings, paints a positive blueprint for the network's prospects.
• ETF Expectations: The positive sentiment and increasing attention surrounding the potential Solana ETF are attracting more investors, especially institutional participants who were previously on the sidelines.

From a technical perspective, if Solana can cleanly break through the resistance level of $220, the space above will be opened up, and the next important price range will be between $236 and $252.

Downside Risks and Short-term Price Predictions

Despite the overall optimistic sentiment, caution is still needed regarding some downside risks:

• Key support level: The biggest immediate risk is the support level at 200. If this level is effectively broken, the price of Solana may retreat to the range of 190 to 186.
• Market impact: If major crypto assets such as Bitcoin and Ethereum experience broader market weakness, the price of Solana may also be dragged down, even if its fundamentals remain strong.

The article provides a short-term forecast based on the current trading levels:

• Break above 220 USD: Could open the door for prices to rise to 236 USD to 252 USD.
• Break below 200 USD: may lead to further price decline, possibly falling towards 190 USD to 186 USD.

Conclusion

Solana recently achieved a milestone of 1 billion dollars in on-chain Liquidity, strongly demonstrating its increasing institutional appeal. Although the short-term price trend depends on whether it can break through key resistance levels, the combined effects of technical strength, network upgrades, and ETF potential set a cautiously bullish tone for Solana's future.