Following a massive Q3 performance, Solana (SOL) has kicked off “Uptober” with a bounce, attempting to reclaim a crucial area as support to continue its bullish rally. Some analysts have suggested that the cryptocurrency is ready to challenge the recent highs and enter a new price discovery phase.
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Solana Starts ‘Uptober’ In The Green
After the recent market correction, Solana has started the new quarter with a 7.3% bounce from yesterday’s lows. Last week, the cryptocurrency fell from its recent highs and hit a local low of $190 after closing below the $200 support for the first time in nearly a month.
Over the weekend, the altcoin reclaimed the crucial barrier and attempted to turn the $205-$210 area into support during the last two days of September. After closing the month around the $208 level, SOL’s price bounced 5.3% on Wednesday morning toward the $220 mark.
Some market watchers previously noted that $218 level was the most important level for the cryptocurrency’s recovery, as the largest supply wall exists around this level. This level coincides with Solana’s $120-$220 macro range high.
Analyst Crypto Jelle considers that SOL “is ready for its second expansion wave for the cycle” after months of re-accumulation, the September rally, and the successful retest of the breakout level.
Amid today’s pump, the analyst affirmed that the cryptocurrency has “one last hurdle to overcome” before the rally to new highs begins. Per the post, once Solana turns the $250 level into support, the altcoins will be “in for a great end of the year.”
Similarly, Altcoin Sherpa suggested that SOL will likely rally toward the $230-$235 area and above if Bitcoin (BTC) and the crypto market remain stable.
Corporate Momentum, ETFs To Fuel Q4 Rally
Solana’s momentum has been partially driven by growing corporate interest in the cryptocurrency, with SOL-focused Digital Asset Treasuries (DATs) pouring billions of dollars into the strategies over the past few months.
On October 1, Nasdaq-listed VisionSys AI Inc. announced a $2 billion SOL-based treasury strategy in partnership with Marinade Finance, Solana’s leading staking protocol.
The initiative aims to “strengthen VisionSys’s balance sheet, enhance liquidity, and create long-term shareholder value through the strategic acquisition and staking of Solana (SOL),” the announcement reads.
Marinade Finance will serve as VisionSys’s exclusive staking and ecosystem partner, and the program’s first phase is set to acquire and stake $500 million in SOL within the next six months.
Additionally, the pending approval of multiple crypto-based exchange-traded funds (ETFs) by the Securities and Exchange Commission (SEC) has raised expectations for an October rally.
In August and September, the regulatory agency pushed its final decision deadline for multiple crypto investment products, including SOL-based ETFs, between mid-October and mid-November.
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On Monday, Senior ETF analyst Eric Balchunas affirmed that “the odds are really 100% now.” “Generic listing standards make the 19b-4s and their ‘clock’ meaningless,” he explained, adding, “That just leaves the S-1s waiting for formal green light from Corp Finance. And they just submitted amendment #4 for Solana. The baby could come any day. Be ready.”
As of this writing, Solana is trading at $219, a 11.1% increase in the monthly timeframe.
Featured Image from Unsplash.com, Chart from TradingView.com
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