Solana Price Holds $95 Amid ETF Inflows and Network Upgrade

• Solana price is testing support near $95 after falling from above $101.
• U.S. spot Solana ETFs have recorded nine straight weeks of net inflows, with more than $200 million entering over the past month.
• Solana’s Transaction V1 upgrade increased maximum transaction size to 4,096 bytes from 1,232 bytes.

Solana price is attempting to stabilize near $95 after falling sharply during the broader crypto market correction. SOL dropped from around $101.36 to $95.84 after the U.S. Senate failed to advance the CLARITY Act.

ETF flows and declining exchange balances provide a potentially supportive backdrop. Solana also activated a major network upgrade that increased the amount of data developers can include in a single transaction.

Solana price fell from $101.36 to $95.84 following reports that the CLARITY Act failed to advance in the U.S. Senate. According to analyst Ali Martinez, on-chain data shows that approximately 72 million SOL were previously traded around the current price level. This marks a significant support zone for the altcoin.

Another major indicator that would support the Solana price rebound from the current level is the exchange balances. More than 3 million SOL have been withdrawn from the exchanges over the past month. It suggests that more investors are willing to hold SOL in cold storage, which could lead to less selling pressure.

Furthermore, the Solana blockchain is also seeing strong network growth. Solana’s network growth remains elevated, with the blockchain recording roughly 10.8 million new addresses per day.

The network reached a peak of 12 million new SOL addresses on September 11. It shows continued activity despite the recent market correction.

Analyst Trader Tardigrade said SOL has once again touched the lower boundary of its bull flag pattern on the daily chart. As shown in the image below, any breakout from this pattern could trigger a rally to $140.

Demand for the U.S. spot Solana ETFs have continued to rise, as the Solana instruments saw nine consecutive weeks of inflows. Over the past month alone, more than $200 million have flowed into spot SOL ETFs.

The latest net inflows reached $11.0 million, bringing the 30-day total to $220.1 million and tracking cumulative net inflows to $1.37 billion, as per data from AskClash. SOL ETF demand has remained resilient despite broader market caution ahead of the Federal Reserve’s decision.

Solana has more than tripled the amount of data that can be included in a single transaction. This further gives developers additional capacity for complex trades, company-wallet approvals and privacy applications, as per official data.

The network’s new Transaction V1 format went live Tuesday, Sept. 15. The upgrade increases the maximum data capacity of a single transaction to 4,096 bytes from 1,232 bytes.

The upgrade will address a structural limitation on the network while narrowing the gap with other competitors like Ethereum. With the increase to 4,096 bytes, Solana is expanding the amount of information that can be included in each transaction. The additional capacity can accommodate instructions, signatures and other data required to execute transactions.

This article is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency investments involve risk, and technical targets or ETF flows do not guarantee future price performance.

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