The cryptocurrency market is rallying on Wednesday despite the ongoing crisis in the Middle East.

Bitcoin hit the $71k level a few minutes ago, while Ether is approaching $2,100.

Solana’s SOL is the best performer among the top 10 cryptocurrencies by market cap, up 7.5% in the last 24 hours.

The rally allows SOL to hit the $90 mark, with the bulls pushing for higher levels amid growing institutional demand. 

SOL has outperformed other major cryptocurrencies in the last 24 hours thanks to growing institutional demand for Solana products.

According to CoinGlass, spot SOL ETFs recorded an inflow of $1.03 million on Tuesday, following a $17.41 million inflow the previous day, a total of $18.44 million so far this week. 

The inflow so far this week comes after a $44.44 million inflow recorded the previous week, the highest weekly flow since mid-January. 

The rising inflow signals growing institutional interest.

If this trend continues and intensifies, SOL could see an upward move in the upcoming weeks.

Retail interest in Solana is also growing, as shown by the derivatives data.

CoinGlass’s funding rates data for SOL flipped positive earlier today and now reads 0.0008%.

This indicates that longs are paying shorts and suggesting bullish sentiment toward SOL.

SOL is trading at $90.56 on Wednesday after retesting the $82 low on Tuesday.

The near-term bias has turned bullish as Solana has broken above the minor resistance level of $87.96.

Currently, SOL is still trading below the 50 and 100-day Exponential Moving Averages, clustered above $98.00, keeping the broader trend under pressure despite the recent bounce from the $77.60 support.

Momentum indicators have flipped positive thanks to the recent rally.

The Relative Strength Index (RSI) on the 4H chart reads 63, indicating a growing bullish momentum. 

The Moving Average Convergence Divergence (MACD) indicator remains in positive territory, suggesting growing buy-side dominance. 

If the daily candle closes above the 50-day EMA at $98.42, SOL could extend its rally towards the $107 trendline break area over the next few hours or days.

A move above this area would soften the medium-term bearish structure and allow SOL to target new resistance levels.

However, failure to break above this region could see SOL retest the resistance-turned-support area at $86.

The immediate major support currently sits near $77.60 and could provide a short-term bounce.

However, if this channel fails to hold, the sellers will seek to push SOL lower towards the $67.50 swing low on the daily chart.

The ongoing crisis in the Middle East means that the cryptocurrency market will likely be volatile over the coming days and weeks.

The post SOL hits $90 as institutional support strengthens: Check forecast appeared first on Invezz

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