TLDR
- SOL climbed over 20% from $85.37 on Aug. 20 to a high above $102.59 before pulling back to around $97.50
- Spot Solana ETFs recorded $33.5 million in a single day — the largest single-day inflow of 2026
- Over $4 billion in crypto short positions were liquidated across the market, pushing SOL through $100
- Daily RSI sits at 79.32, above the overbought threshold of 70
- Two governance proposals, SIMD-550 and SIMD-553, could cut SOL issuance by $1.4B–$1.5B over six years
Solana (SOL) traded near $97.50 on Aug. 26 after a strong week that saw the token rise more than 20% from its Aug. 20 low of $85.37.
The rally pushed SOL above the $87.50 and $93.75 resistance levels and briefly above the $100 psychological barrier, reaching an intraday high of $102.59 on Aug. 25. Profit-taking pulled it back, and SOL has since settled just below $100.
The 7-day gain stood at approximately 14% at the time of writing.
A broader crypto market move helped fuel the advance. U.S. Treasury liquidity actions pushed government bond yields lower and weakened the dollar, reducing pressure on risk assets. More than $4 billion in short positions were liquidated across crypto markets over several days, creating forced buying.
SOL benefited from this squeeze due to its higher volatility compared to Bitcoin. Short covering and momentum buying helped carry it through $100.
ETF Inflows Hit 2026 Record
Institutional demand backed up the price move. Spot Solana ETFs recorded $33.5 million in net inflows on Monday alone — the biggest single-day figure of 2026. Cumulative Solana ETF inflows have now reached a record $1.22 billion, with the current streak extending to five consecutive days. Weekly inflows totaled approximately $65.74 million, also a 2026 high.
📈 ETF DATA: U.S. spot @Solana ETFs recorded $33.3M in net inflows yesterday, the highest daily inflows since December 2025, led by $BSOL with $25M.
Meanwhile, daily traded volume hit an all-time high of $166M.
Track here: https://t.co/8nZJxjM9rd pic.twitter.com/k1d9Pj4EKi
— SolanaFloor (@SolanaFloor) August 25, 2026
On-chain data added to the picture. Solana recorded 4.2 billion total transactions in July, up 13.5% from June. The network surpassed Base in daily x402 micropayment transactions for the first time in six months. Ramp also integrated AI-agent wallet support on Solana, expanding the network’s role in automated payments.
Governance Proposals Could Reduce Supply
Wu Blockchain reported that Solana is advancing two governance proposals. SIMD-550 would double the annual disinflation rate from -15% to -30%, accelerating the path to Solana’s 1.5% terminal inflation rate from 2032 to H1 2029. SIMD-553, already approved and merged on July 20, introduces a burn fee on compute units. According to 21Shares, daily SOL burns could rise from 600–800 SOL to 7,500–9,000 SOL. Together, both proposals could reduce issuance by $1.4B–$1.5B over six years.
Solana Proposals Could Sharply Increase SOL Burns and Cut Issuance by $1.4B-$1.5B Over Six Years
According to 21Shares, Solana is advancing two governance proposals, SIMD-550 and SIMD-553. SIMD-550 would double the annual disinflation rate from -15% to -30%, moving Solana’s path… pic.twitter.com/rQ8jqgBRNX
— Wu Blockchain (@WuBlockchain) August 26, 2026
Crypto analyst CryptosBatman noted on X that SOL is testing a major resistance zone after a strong breakout, adding that if buyers defend a retest of previous resistance turned support, a move toward $120 stays in play.
$SOL is testing a major resistance zone after a strong breakout.
A pullback into previous resistance turned support would be the ideal setup for continuation.
If buyers defend the retest the move toward $120 stays firmly in play. pic.twitter.com/q3bF2Ps9gN
— BATMAN ⚡ (@CryptosBatman) August 26, 2026
On the technical side, the 4-hour Chaikin Money Flow reads 0.14, showing buying pressure remains positive. The daily RSI stands at 79.32, above the overbought level of 70.
Pseudonymous trader Altcoin Sherpa said SOL could reach $120 if Bitcoin remains stable. Analyst Haris flagged the $98–$102 zone as a potential bull trap, with $92 as the first downside level if SOL gets rejected again.
The liquidation heatmap shows dense leveraged positions near $98.90–$99.10 and $100. A break above $99 could trigger another short squeeze toward $102–$103.
