Solana (SOL) is flashing signs of bullish momentum as institutional optimism and falling channel breakout were noted.
Since the start of 2026, SOL price continued to form higher-highs and trades in an upward momentum, which confirms the accumulation.
One of the key reasons behind this upward momentum is the growing user interest. On January 6, 2026, Morgan Stanley submitted a filing to the U.S. Securities and Exchange Commission to introduce two new crypto exchange-traded funds (ETFs), one of which is linked to Solana.
On-Chain Data Highlights Growing User Engagement
Recent on-chain data showcased that Solana continues to gain traction in the market. The rapid increase in daily active users replicates the large number of users awho re transacting and participating in the ecosystem.
Furthermore, the steady growth in the stablecoin supply on the network also fuels bullish momentum. In the recent sessions, the total stablecoin balance continues to expand, signalling growing confidence among users.
Typically, when stablecoin supply increases, it denotes that potential upward trend is positioning in the market.
Analyst Flags Solana Breakout, Eyes $171 Target
In a recent post on X, Crypto Analyst King Arthur has given a bullish call on Solana. According to his analysis, SOL has finally escaped a falling channel and displayed bullish momentum. He notes that holding above the $143 level would strengthen bullish confidence, while a decisive close above $152 could confirm a renewed uptrend.
FAQs
SOL is forming higher highs, breaking a falling channel, and seeing rising user activity, signaling accumulation and improving market confidence.
Higher daily active users suggest growing adoption, more real usage, and a healthier ecosystem supporting price growth.
Solana stock, with its strengths in fundamentals, still holds significant prominence. That said, we can expect its glory to shine brighter with resolutions to shortcomings and major Solana news.
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