A combination of solid fundamental and technical catalysts helped SOL reach its best level in three weeks.

olana (SOL) surged on September 13, reflecting similar bullish moves in the broader crypto market led by bitcoin (BTC) and ethereum (ETH).

On the daily chart, the price of SOL is up more than 4% to $39, the best level in 3 weeks. The intraday rise of the token was a continuation of the prevailing uptrend, which saw the price rise by 30% in just 2 weeks.

SOL/USD daily chart. Source: Trading View
Compared to Solana, Bitcoin and Ethereum lagged behind, posting 16% and 22% gains over the same period. Let’s take a look at the combination of fundamental and technical factors that may have propelled SOL higher.

Helium merged with Solana
On August 30, the core developers of the Helium network, which provides decentralized 5G wireless coverage by allowing users to become hotspots, announced a management proposal to move from their own network to the Solana blockchain.

Helium’s developers cited “the need to improve operational efficiency and scalability”, seeing Solana as an ideal partner.

SOL is a staking and transaction token in the Solana ecosystem.

Weekly SOL/USD price chart. Source: Trading View
NFT boom
The recent buying period in the Solana market has also coincided with the rise in non-fungible token (NFT) performance.

Notably, volume on NFT marketplaces such as OpenSea, Metaplex, and Magic Eden reached nearly 1.2 million SOL (~$42.8 million) in the week ending September 11, according to Nansen Shows. This was accompanied by a further increase in NFT transactions, which reached an all-time high of over 1 million over the same period.

Solana’s surge in activity has proved to be a unique bright spot in the NFT sector, which has been declining in recent months. Trading volume in the leading NFT market OpenSea has plummeted.

Of all the Solana NFT collections, the recently released “y00ts mint t00b” collection has generated the most trading volume recently, with HyperSpace recording an average value of around $18.45 million per day.

Tech leap from SOL
From a technical standpoint, the 30% rise in SOL began after testing a historically significant support level.

SOL/USD has been consolidating sideways since May 23 in a range defined by two flat parallel trend lines. A decline towards the lower trendline (support) was typically followed by a 58-60% rebound towards the upper trendline (resistance).

RELATED: Network outages were Solana’s ‘curse’, says co-founder

Similarly, a pullback from the upper trendline caused the price of SOL to fall towards the lower trendline, as shown below.

Weekly SOL/USD price chart. Source: Trading View
With the SOL recovering, the path of least resistance appears to lie towards the upper trendline around $47.50, which is about 38% above current price levels.

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Source: CoinTelegraph

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