Solana price remains in a bullish position after briefly touching $110, with strong ETF inflows and growing network activity helping SOL defend its recent breakout.
SOL traded around $106 on Aug. 28 after reaching an intraday high of $110. Although the token pulled back from that level, it continues to trade above an important rising trendline and key technical support.
The next major challenge is $110. A confirmed breakout could put approximately $115 in focus, followed by a potential move toward $127.83.
Solana Price Pulls Back After Reaching $110
Solana climbed to $110 on Aug. 28 before retreating to around $106.25.
Despite the pullback, SOL remained approximately 10% above its Aug. 26 opening price of $96.60. The token had briefly fallen to $95.23 before buyers stepped in and restored upward momentum.
The broader rally started around Aug. 19 when Solana broke out of a prolonged trading range near $75–$80.
SOL subsequently moved through several resistance levels, including $88 and $94, before eventually breaking above the psychologically important $100 mark.
The latest pullback began after Solana tested resistance around $109–$110.
A decline of roughly 3.4% from the local high currently looks more like profit-taking following a rapid rally than confirmation of a larger bearish reversal.
Importantly, SOL remains above the ascending trendline connecting the higher lows formed since Aug. 19.
Its 4-hour Supertrend indicator also remains bullish, with dynamic support sitting near $100.95.
A break below both the trendline and Supertrend support would provide an early warning that Solana’s short-term bullish structure is beginning to weaken.
Momentum Remains Positive but Starts to Cool
Solana’s Awesome Oscillator remains well above its neutral level at approximately 8.82.
The positive reading indicates that recent bullish momentum remains stronger than previous downward moves.
However, the latest red bar suggests that momentum is beginning to slow.
This does not necessarily signal a reversal, but it could mean SOL needs a period of consolidation before attempting another breakout above $110.
Solana ETF Inflows Support SOL Price
One of the strongest fundamental factors supporting Solana has been growing demand through U.S. spot Solana ETFs.
The rally developed despite hotter-than-expected U.S. inflation data creating pressure across risk assets.
The headline Personal Consumption Expenditures price index increased 3.7% year over year in July, slightly above the 3.6% market expectation.
Core PCE increased 0.2% month over month and 3.3% annually, matching expectations.
The hotter headline inflation figure initially pushed bond yields and the U.S. dollar higher as investors reduced expectations for easier Federal Reserve monetary policy.
SOL initially reacted negatively, falling as low as $95.23.
However, buyers quickly returned.
Strong spot demand helped Solana recover, while U.S. spot Solana ETFs continued attracting new capital.
The funds recorded five consecutive positive sessions through Aug. 24, including approximately $33.5 million of inflows during that session — reportedly their largest daily intake of 2026.
That brought cumulative net subscriptions to approximately $1.22 billion.
Later figures placed the positive streak at seven sessions and cumulative inflows at roughly $1.26 billion.
Growing ETF demand could provide an important source of longer-term support because these products allow investors to gain regulated SOL exposure without directly managing cryptocurrency wallets or private keys.
ETF creations can also contribute to spot-market demand when issuers acquire underlying SOL to support new fund shares.
Solana Network Activity Adds Fundamental Support
Strong blockchain activity provides another bullish factor.
Solana reportedly processed more than 1.01 billion transactions during one week in August.
While transaction totals can include automated activity and should not be interpreted as the number of individual users, the figure still demonstrates substantial activity across the network.
Another particularly important area of growth has been tokenized equities.
Solana reportedly processed approximately $1.298 billion of the $1.324 billion in global on-chain equity trading volume during the week of June 15–21.
That represented roughly 95% of total market activity during the period.
Tokenized-stock trading volume during the first half of the year reportedly reached approximately $4.9 billion, compared with $775 million during the second half of 2025.
The figures highlight Solana’s growing role as infrastructure for tokenized real-world assets.
Solana Supply Changes Could Strengthen Long-Term Narrative
Potential changes to Solana’s token issuance model have also attracted market attention.
Validators are considering a proposal known as Double Disinflation.
The proposal would increase the annual rate at which SOL inflation declines from 15% to 30%.
If implemented, the change could allow Solana to reach its terminal inflation rate of 1.5% significantly sooner.
Under the proposal, that level could potentially be reached during the first half of 2029 instead of around 2032 under the existing schedule.
However, any impact on SOL’s future supply remains dependent on the proposal receiving approval and being implemented.
$104 Becomes Critical Support for Solana Price
From a technical perspective, the $104.41 level is becoming particularly important.
SOL is trading just above the 50% Fibonacci retracement level at $104.41.
This area previously acted as resistance, meaning bulls will now want it to become support.
Holding above $104.41 would preserve the current breakout structure and give buyers another opportunity to challenge $110.
Several momentum indicators continue to favor the bulls.
The Aroon Up indicator stands at approximately 92.86%, compared with Aroon Down at just 14.29%.
This indicates that Solana’s recent high is considerably newer than its latest significant low, supporting the broader bullish trend.
Chaikin Money Flow is also positive at approximately 0.32, suggesting accumulation has been stronger than distribution during the measured period.
Can Solana Price Reach $115?
The $110 level remains the immediate barrier separating SOL from its next potential upside target.
A confirmed daily close above $110 could open the way toward the 38.2% Fibonacci retracement level at approximately $114.88.
That puts the widely watched $115 level firmly in focus.
If SOL successfully breaks through $114.88, the rally could potentially extend toward $127.83.
The rising 4-hour trendline also suggests that the bullish structure could move toward the $111–$112 region in early September if current momentum continues.
Liquidation data supports the importance of these levels.
Major overhead liquidity is concentrated around $108.50–$109 and approximately $110.50–$111.50.
A strong move through these areas could force leveraged short traders to close their positions, potentially adding momentum to an upside breakout.
What Happens if SOL Falls Below $104?
There is also meaningful liquidity below the current market price.
Clusters are visible around $104–$105, with deeper liquidity concentrated near $102–$103.
If SOL loses the important $104.41 support level, the price could move toward its 4-hour Supertrend support around $100.95.
A deeper correction could then bring the 61.8% Fibonacci retracement near $93.95 into focus.
For now, Solana’s broader structure remains bullish while SOL trades above the $100–$104 region.
ETF inflows, strong network activity and positive capital flows continue to support the bullish case.
However, repeated rejection around $110 and signs of stretched momentum mean traders should remain prepared for short-term volatility.
Holding $104.41 and breaking $110 would strengthen the case for a move toward $114.88, or roughly $115. A successful breakout above that level could eventually put $127.83 within reach.
