Solana (SOL) Surges to $90 as $16M Short Squeeze Ignites Rally

Key Highlights

• SOL rallied approximately 5% to reach the $90 threshold, marking a 10% increase over seven days
• Alpenglow network upgrade may debut next quarter, focusing on enhanced transaction confirmation speeds
• Derivatives open interest jumped 10% to $5.55 billion while options activity exploded by 194%
• More than $16 million worth of short positions faced liquidation within 24 hours
• Critical resistance zone identified between $90–$92, with $85 serving as primary support

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Solana (SOL) has emerged as a standout performer among altcoins this week, approaching the psychological $90 barrier following a solid single-day gain of nearly 5%. This upward movement coincides with renewed strength across the cryptocurrency sector, where Bitcoin is holding above $81,000 and Ethereum maintains levels around $2,300.

Solana (SOL) Price

SOL’s trading volume expanded by 30% during the session, reaching approximately $6 billion as the token challenged the $90 threshold. This volume spike represents more than 11% of Solana’s circulating supply valuation, signaling robust market participation and accumulation at these price levels.

Crypto analyst Ali Charts identified SOL as being “in the middle of a bullish breakout” via social media commentary, while Rand Group highlighted that the token appears to be breaking through a multi-month yearly downtrend resistance — a technical level market participants have monitored closely.

Derivatives market activity reflected growing trader conviction, with open interest across major exchanges expanding 10% to reach $5.55 billion. The options market witnessed particularly dramatic growth, with volume skyrocketing 194% to $17.72 million. Overall trading volume climbed to $12.92 billion, representing a substantial 78.75% session-over-session increase.

Massive Short Liquidation Event

The broader cryptocurrency market experienced over $400 million in short position liquidations during a 24-hour window. Solana represented $16 million of this total, marking the largest single-day short liquidation event for SOL since April 15, when the token similarly tested the $90 level.

Source: Coinglass

Notably, Bitcoin contributed less than half of aggregate liquidations during this period. This distribution pattern indicates that alternative cryptocurrencies are gaining momentum and attracting increased speculative interest during the current market cycle.

Year-to-date performance shows SOL up 6.5%, trailing Bitcoin’s 17% gain and Ethereum’s 10% advance. This performance differential reflects ongoing investor caution amid persistent macroeconomic headwinds and geopolitical tensions. The Crypto Fear and Greed Index currently registers 52, indicating neutral market sentiment.

Alpenglow Network Enhancement Coming Soon

Solana co-founder Anatoly Yakovenko discussed the anticipated Alpenglow upgrade during his appearance at Consensus Miami 2026. The enhancement specifically targets improvements in transaction confirmation speed and consistency, aiming to reduce network latency and execution uncertainty.

Yakovenko indicated the upgrade could potentially deploy as soon as next quarter if development milestones remain on track, though a definitive year-end deadline has been established. The primary objective centers on aligning confirmation speeds more closely with actual data transmission capabilities.

Chinese cryptocurrency news platform Wu Blockchain provided additional coverage of the announcement, emphasizing that Alpenglow is engineered to accommodate time-critical applications by enhancing network timing accuracy while maintaining Solana’s industry-leading transaction throughput.

From a technical analysis perspective, the 4-hour Relative Strength Index climbed to 71, reflecting substantial buying pressure. The MACD indicator has registered a bullish crossover pattern. Immediate price resistance exists at $92, with subsequent technical targets at $96 and $100. Downside support is firmly established at $85.

On-chain protocol revenue remains subdued, with Solana decentralized applications generating approximately $15 million in fees last week, a significant decline from the $410 million recorded in January 2025.

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