Solana has just returned above $94 after briefly exceeding $100 on Friday. The SOL crypto even touched $102 before falling back. The movement is impressive, but a good part of the activity comes from derivative products. Open interest now reaches $5.81 billion. Many positions therefore remain open.
In brief
- Crypto: Solana exceeds $94, but 5.8 billion remains in play
- Open interest exceeds $5.8 billion on futures contracts.
- The volume of derivatives reached 19.33 billion, compared to only 1.88 billion on the spot market.
The Solana crypto finally goes back above 90 dollars
SOL crypto has come a long way. The token was still moving around $74 before successively resuming several technical levels. This resistance had already accompanied Solana’s good performance against the rest of the crypto market.
The price first reclaimed its 50-day and 100-day moving averages, located around $77 and $76. Then that of 200 days, around 81 dollars. The 83 dollars followed. Finally 90. The SOL crypto then accelerated to $102 before returning to around $94. The increase exceeds 25% over one week.
The $90 level now counts the other way. A daily close above would strengthen the rebound. Below this zone, the next levels monitored are around 83 then 79 dollars. The daily RSI also reaches 83.
Solana therefore enters the overbought zone after several sessions of rapid increase. This does not prevent an asset from continuing to rise. Corrections simply become easier to trigger.
Futures move ten times faster than spot
The volumes tell a pretty clear story. Around $19.33 billion was traded in Solana futures. The spot only reached 1.88 billion. More than ten dollars therefore pass through derivatives for each dollar exchanged directly on the spot market.
The lever takes up a lot of space. Open interest reaches $5.81 billion. It measures the value of future positions still open and gives an idea of the amount of capital committed to betting on the next move of the SOL crypto.
The session has already done damage. Liquidations Reach Around $108.35 Million Over 24 Hours. Part of the rally comes from short sellers being forced to close their positions when the price rises. The movement can quickly accelerate when several shorts jump one after the other.
Solana had already experienced this rise in leverage earlier in the year. Crypto ETFs and institutional products had accompanied multibillion-dollar open interest in SOL. This time, the spot does not follow at the same pace. This is the number to watch.
The 5.8 billion can push SOL in both directions
High open interest does not automatically mean a fall. If the price continues to rise, the shorts still open may in turn be liquidated. The Solana crypto would then have an additional engine. The problem arises if long positions become too numerous.
A rapid decline could trigger sell-offs in the other direction and accelerate the correction. Financing rates will provide part of the answer. If they remain slightly positive, nothing unusual for a rising market. A strong advance accompanied by ever-higher open interest would signal more long positions piled up on the same bet.
The spot market also counts. A lasting recovery in direct purchases would give more weight to the passage of 90 dollars. Institutional investors remain present, even if Solana ETFs have recently experienced several sessions without new net flows. For now, the SOL crypto is holding above its former resistance. 94 dollars on the counter. 5.81 billion in the future. The next move will depend a lot on what drops first.
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