Solana may be gearing up for a rally to $164 as it approaches a breakout from a well-known bullish pattern, according to analyst Ali.
In a July 9 post on X, Ali pointed out that Solana has formed a symmetrical triangle on the 4-hour chart—a pattern marked by converging trendlines of lower highs and higher lows. This setup indicates a phase of consolidation that often leads to a decisive breakout.
Ali explained that a confirmed move above the triangle’s upper boundary, around the $153 resistance level, could spark a bullish breakout, potentially driving SOL’s price toward the $164 mark in the short term.
As of press time, Solana was trading right at a critical resistance level, positioning itself for a potential breakout that could fuel a strong upward move.
Momentum indicators are aligning with this bullish outlook. On the 4-hour SOL/USDT chart, the Moving Average Convergence Divergence (MACD) line has crossed above the signal line, with both trending upward—a classic sign that buying pressure is building and the price may continue to climb.
Additional technical analysis comes from pseudonymous trader SDX, who noted that Solana has been consolidating just below a descending trendline that dates back to the start of the year. According to SDX, a clean breakout followed by a successful retest of this trendline could trigger a more powerful uptrend, potentially paving the way for a new all-time high if supported by strong trading volume.
The fundamentals are also stacking up in Solana’s favor. Notably, SOL was recently named among the featured assets in Trump Media and Technology Group’s proposed “blue-chip” cryptocurrency ETF, according to a filing with the U.S. Securities and Exchange Commission (SEC).
In a separate development, the SEC has reportedly asked ETF issuers to revise and resubmit their applications for spot Solana ETFs by the end of July. Such requests are often seen as encouraging signs, indicating the agency is open to advancing the approval process if specific conditions are addressed. For many traders and analysts, this kind of regulatory engagement is interpreted as a bullish signal, hinting at the possibility of increased institutional and retail interest.
Solana is also gaining ground in the rapidly growing real-world asset (RWA) tokenization space. According to Dune Analytics, the total value of tokenized RWAs on Solana has reached a record $418 million, with active users surging 631% over the past 30 days.
This momentum is echoed in the network’s on-chain activity. Daily active addresses on Solana spiked from 3.46 million to an impressive 15.39 million in just one day—a staggering 345% increase that underscores growing user engagement and adoption.
The supply of stablecoins on the Solana network has also seen steady growth over the past week—a development that could have significant bullish implications. Stablecoins play a vital role in decentralized finance (DeFi), acting as a key medium of exchange, store of value, and unit of account across blockchain ecosystems.
For Solana, the rising stablecoin supply suggests that more users are turning to the network for activities like payments, trading, and settlement of tokenized assets. This increased utility not only boosts on-chain activity but also strengthens the broader bullish case for SOL.
At the time of writing, SOL was trading approximately 48% below its all-time high of $293.
