Solana has climbed 4% over the past 24 hours, reclaiming the $120 resistance level as buyers regain control after a period of consolidation. The move comes amid a more favorable US inflation backdrop, with trading volume around $4.2 billion, roughly 6.5% of SOL's circulating market cap.
The rally follows a rejection at $120 earlier this week, which had suggested that buyers needed additional momentum to sustain a breakout. Softer-than-expected inflation data provided that catalyst, allowing bulls to push the token higher.
While a rally to resistance does not automatically end a short-term downtrend, the next response above $120 will be critical in determining whether this is a resumption of the earlier uptrend. Traders are already eyeing the next psychological level at $150, which would represent a further 25% advance from the breakout point.
Alpenglow upgrade and network activity
Attention is also focused on Alpenglow, an upgrade deployed on Solana's testnet and devnet that aims to slash transaction finality time from roughly 12.8 seconds to around 150 milliseconds. Early testing has been encouraging, though these figures are from development environments and should not be treated as established mainnet results. Faster finality could benefit applications that rely on rapid confirmation, such as trading and other financial services, but its practical impact will depend on reliable performance under production conditions. The article does not provide a confirmed mainnet activation date, leaving implementation timing as a key part of the outlook.
According to DeFiLlama, Solana's application fees rose from $639 million in Q2 to $948 million in Q3, a jump of approximately 50%, with growth recorded across three consecutive months. Higher application fees indicate greater usage and economic activity within the ecosystem, providing a separate measure of demand beyond speculative trading in SOL. However, these fees are not automatically equivalent to revenue for SOL holders; their relevance depends on how activity translates into network demand and broader market valuation.
Technical outlook: bulls target $150
The SOL/USD daily chart remains bullish as Solana surges past $120, with buyers having defended the $110 support level over the past few days. The next key resistance is at $150, and a successful Alpenglow implementation, alongside stronger ecosystem activity, could serve as a catalyst.
Failure to close the daily candle above $120 could see bears regain control and retest the $110 support zone. That area is seen as a potential entry point for buyers, but it is not a guaranteed floor. If the token fails to stabilize around $110, the near-term recovery setup would weaken.
This article is for informational purposes only and does not constitute financial advice.
