Solana Price Eyes $120 as ETF Inflows Extend Bullish Streak

Solana (SOL) has been on a bullish streak, with ETF inflows helping to push the price toward the $120 mark. Following the Federal Reserve's recent interest rate decision, analysts have increased their expectations for a 25 basis point hike, raising the odds from 36% to 66%. This has led to a wave of selling, pushing SOL down to the $100 psychological threshold.

However, the level has not yet been contested. Trading volumes have dropped to $3 billion, indicating weak investor interest at this level. Despite the latest retreat, Wall Street has continued buying SOL via ETFs, showing positive positioning and expectations for the token's future price action. Net inflows to these vehicles have been positive for 11 consecutive days, totaling $193 million in August.

On-chain metrics suggest increased network usage and a bullish crossover between the 30-day and 50-day moving averages, signaling a potential strong price movement. Additionally, dApps in the Solana ecosystem are collecting more fees, with DEX volumes also rising. If SOL can hold above the $100 mark, it could resume its rally to $120, offering a 20% upside potential in the near term.