Solana traded near $85.87 after gaining 1.15% in the past 24 hours, while Bitcoin stayed mostly flat. The move came as traders watched a wider crypto short squeeze, rising Solana derivatives activity, and renewed attention around a proposed Morgan Stanley spot Solana ETF.
Solana’s latest move followed broad pressure on bearish crypto positions. Market data indicated more than $265 million in leveraged liquidations over 24 hours, with short positions forming most of that total.
This kind of move can force traders to buy back assets to close losing positions. As a result, SOL gained support even without a clear coin-specific news driver. Traders described the move as a ‘cautious rebound,’ since the price still remained below major breakout levels.
Solana also drew attention after weekly on-chain derivatives volume passed $20 billion. That figure pointed to active trading demand across Solana-based markets, even as the spot price struggled to move past resistance. TokenPost-linked data also reported rising derivatives activity while SOL stayed near the $83 to $85 support area.
Institutional signals remained uneven. CryptoRank reported that Morgan Stanley filed an amended application for a spot Solana ETF with the proposed ticker MSOL. The filing did not disclose management fees, according to the report.
Other reports said the proposed Morgan Stanley Solana Trust would trade on NYSE Arca and directly hold SOL. Some coverage also said the product could include staking rewards, although approval still depends on regulatory review.
At the same time, reports of Goldman Sachs exiting Solana ETF exposure added caution to the market. However, continued spot Solana ETF inflows showed that some investors still wanted regulated SOL exposure. This kept the market tone mixed rather than fully bearish.
Solana now trades near a key technical area. The $83 to $85 zone remains the main short-term support level. A break below that area could expose SOL to a deeper pullback toward $77.71.
On the upside, traders continue to watch the $92.96 resistance level. A daily close above that area could open a move toward the $98 to $100 zone. However, analysts still describe the chart as ‘not confirmed,’ because SOL has not cleared that resistance.
Several chart analysts also pointed to a rounded base pattern. The setup suggests buyers have defended lower levels, but the price still needs a clean move above $100 before a stronger Solana price prediction becomes valid.
Solana’s upcoming Alpenglow upgrade remains another factor for traders. The upgrade entered community validator testing and could reach mainnet as early as late Q3 or early Q4 2026.
Alchemy said Alpenglow upgrade aims to cut Solana transaction finality from 12.8 seconds to about 100 to 150 milliseconds. The upgrade would also replace parts of Solana’s current consensus system.
For now, SOL remains in a fragile recovery. A move above $92.96 could strengthen the short-term setup. However, a fall below $83 would weaken the current rebound and shift attention back to lower support levels.
Also Read: Solana Price Slips to $83: Bearish Pressure Builds Toward $80 Level