Solana May Face Near-Term Pullback on Rising Wedge as ETF Odds and Institutional Demand Could Support Further Gains

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  • Solana price up 150% in 2025; rising wedge signals near-term reversal risk.

  • Spot Solana ETF approval odds above 90%, which could boost U.S. demand for SOL.

  • Institutions hold multi-billion-dollar SOL positions; Alpenglow upgrade and technical metrics are key near-term drivers.

Solana price rally analysis, rising wedge risk and ETF outlook. Solana price insights and trade guidance — read the full technical and fundamental breakdown.

Solana’s price rally faces a critical technical challenge with a rising wedge, but strong fundamentals may push it higher.

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What is driving Solana’s price rally and is the trend sustainable?

Solana price has surged over 150% year-to-date, driven by ETF optimism, institutional accumulation, and upcoming protocol upgrades. The rally is structurally supported by demand but faces a short-term technical threat from a rising wedge pattern that could trigger a pullback toward the $200 support zone.

How does the rising wedge pattern affect Solana price?

The rising wedge on the daily chart forms as two converging upward trendlines, often signaling a potential reversal when momentum weakens. RSI is compressing into a symmetrical triangle and MACD lines have crossed downward, increasing the probability of a corrective move. A confirmed breakdown would likely test the $200 support level.

The formation includes consecutive higher highs approaching the upper trendline since May and tightening price swings. Traders commonly view a rising wedge as bearish when accompanied by declining volume and momentum divergence. In Solana’s case, momentum indicators are already showing softer readings despite price gains.

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Fundamental catalysts are substantial: spot Solana ETF filing activity and high approval odds are drawing capital interest. Market consensus estimates for ETF approval probability exceed 90%, which could lead to sizable inflows from U.S. investors.

Protocol improvements matter too. The Alpenglow upgrade — designed to enhance throughput and efficiency while reinforcing proof-of-stake performance — is a long-term positive for network utility. Increased developer activity and on-chain use cases further back network fundamentals.

Institutional accumulation tends to smooth volatility and extend rallies. Large holders like Forward Industries and DeFi Development are reported to control multi-billion-dollar SOL positions, which amplifies buy-side pressure when macro and regulatory signals align.


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Source: https://en.coinotag.com/solana-may-face-near-term-pullback-on-rising-wedge-as-etf-odds-and-institutional-demand-could-support-further-gains/