Solana Price Flashes Bullish Signal: $450 Target Back In Sight

Key Insights:SOL has broken above its 20-week moving average.Hidden bullish divergence supports a move toward $450.Solana leads all blockchains in daily DApp revenue share.Solana price has shown a strong technical breakout, renewing bullish momentum and bringing a $450 target back into focus. The crypto market is consolidating, but SOL is gaining momentum. Accumulation and strong fundamentals are driving its upward pressure.Solana Price Gains Bullish Momentum After Falling Wedge BreakoutThe recent price action of SOL showed a confirmed breakout from a falling wedge formation. This was developed between February and April 2025.Falling wedge patterns often suggest a potential trend reversal when validated by a breakout to the upside. Solana price followed this pattern closely, moving from a low of nearly $120 to its current level of around $176.1-day SOL Trading Chart | Source: TradingViewAfter the breakout, the Solana price formed higher lows and higher highs. This signaled ongoing bullish momentum. Technical indicators also support this trend.The Awesome Oscillator (AO) has moved into positive territory and remains green, suggesting increasing buying momentum. The Relative Strength Index (RSI) was at 67.71. This indicated that the asset is trending strongly, though not yet in overbought territory.Hidden Divergence Pattern Supports Bullish CaseAccording to market analysts JavonTM1, there is a hidden bullish divergence. This pattern appears when the price forms equal or lower lows while the RSI forms higher lows. It is considered a signal of potential continuation in the current trend. In this case, the trend is upward.Source: XThe RSI has already started to reverse its upward direction, even after the divergence. This significantly indicates the move’s strength.“Prices of SOL have recently started to respond to a Hidden Bullish Divergence which can suggest a continuation and in this case, this could result in another, at minimum, +45% increase back to the $260s”, JavonTM1 added his post.This forecast is consistent with the near-term level of resistance around $233.40, which is an essential level of interest. If Solana price surpasses that level, its target will shift to $457.97. This would mark a remarkable gain of over 100% from its current price.Application Revenue Share Dominance GrowsOutside technical indicators, Solana is doing well on-chain. SOL dominated the DApp revenue landscape on May 13, 2025, accounting for 64.02% of all blockchain network earnings.This surge highlights its growing influence and adoption in the crypto space. Compared to that, Ethereum has 9.75%, and BNB Chain has 5.94%.Solana-based protocols include Axiom Exchange, BonkBot, and Photon, dominating daily revenue with over $6 Million. Axiom Exchange did $3.83 million in just 24 hours.Source: XSuch a level of revenue generation implies continuous activity through the Solana network. High DApp revenues usually mean increased demand for the native token, especially for transaction charges and staking.This network effect also gives developers an increased preference for Solana. With more applications revenue in active, new teams would find fewer reasons to release products on other rival chains.Solana Price Cycles Suggest Strong Growth Potential AheadAnalysis of SOL’s longer-term market cycle also points toward continued growth. A ratio-based measure of the Solana price and the 20-week MA indicates a cyclic pattern.Blue zones in the chart have historically signaled undervaluation. Green and yellow areas often followed, leading to significant market rallies.Source: XSolana price has shifted from a deep blue accumulation zone into a green band. This transition suggests starting a more assertive and aggressive growth phase.As a historical precedent, price elevations from 2x to 4x due to such economic transfers have been observed. This would put a $450 target comfortably in sight if the momentum remains.SOL followed a familiar pattern in 2021 and 2023, starting with undervaluation and later surging as market sentiment and fundamentals improved. This historical trend suggests potential for another significant rally.DisclaimerIn this article, the views, and opinions stated by the author, or any people named are for informational purposes only, and they don’t establish the investment, financial, or any other advice. Trading or investing in cryptocurrency assets comes with a risk of financial loss.Olivia StephanieOlivia Stephanie is a FinTech enthusiast with a keen understanding of financial markets. Her passion for economics and finance has led her to explore emerging blockchain technology and cryptocurrency markets.The post Solana Price Flashes Bullish Signal: $450 Target Back In Sight appeared first on The Market Periodical.