Solana (SOL) Price Analysis: Staking Inflows Fuel Rebound Hopes, Can SOL Reclaim $250?

Solana (SOL) consolidated above the $185 support on January 11 as bulls stepped in to halt weekly time frame losses at 20%. On-chain metrics show that SOL staking deposits surged considerably amid the market dip. Is SOL price forming a local bottom?

Solana (SOL) Price Stabilizes at $185 as Staking Inflows Surge

Solana experienced volatile price action this week, mirroring the broader crypto market turbulence. The heightened selling pressure stemmed from macroeconomic concerns and a U.S. court’s approval of the Department of Justice’s liquidation of $6.5 billion worth of Bitcoin seized from the Silk Road.

Solana price dropped sharply, losing 15.7% of its value between January 5 and January 9. This decline mirrored the altcoin market’s broader sell-off as cascading liquidations intensified bearish sentiment.

However, SOL price found support near the $180 mark on Thursday, as seller fatigue set in and traders began opting to staking their assets. At the time of writing on January 11, SOL price has entered a mild rebound to reclaim the $186 level, signaling the formation of a local bottom as traders await the next breakout catalyst.

Investors Staked 1.4 Million SOL In The Last 5-days

This stabilization above $180 has sparked optimism that Solana may consolidate within the $180–$200 range in the near term. Staking inflows into the Solana ecosystem, which have seen a surge over the past few days, also lend credence to the narrative of a potential recovery.

Confirming this, the StakingRewards chart below tracks daily changes in the value of SOL coins deposited in staking contracts. This provides insights into the short-term sentiment among Solana’s key stakeholders and network validators during a specific market phase.

Solana staking deposits stood at 388.8 million SOL as of January 5. As Solana prices plunged due to external pressures, the majority of Solana network validators increasingly grew reluctant to sell.

Over the past week, investors deposited another 1.4 million SOL into staking contracts, bringing the total staked value to 390.2 million SOL at the time of publication on January 11.

Valued at the current prices Solana investors deposited approximately $250 million worth of SOL coins as prices fell by double-digits in the past week.

This paints a bullish outlook for Solana’s near term price prospects for two key reasons. Firstly by staking $250 million worth of SOL, it effectively reduces the short-term market supply, easing the sell-side pressure.

Beyond that, it signals that rather than sell at the current low prices, a large number of current SOL holders are opting to mitigate short-term losses from the bearish external headwinds, with passive income from staking.

As broader market sentiment remains fragile, traders now await a definitive bullish catalyst to push SOL toward a more decisive breakout.

Solana Price Forecast: Clearing $200 Hurdle Could Trigger $250 Retest

Leaning cautiously bullish, Solana price prediction hints at immediate resistance at $200, indicated by multiple previous rejections near this level.

The 200-day SMA, positioned at $197.09, aligns with this resistance, suggesting a critical hurdle. Successfully breaching this level could trigger momentum toward $250. The RSI, currently at 41.24, suggests modest bearish momentum but is approaching its median line (47.55), indicating potential for bullish reversal if buyers regain strength.

Conversely, failure to clear $200 may expose SOL to further downside. The red projection box reflects a 15.59% decline over two days, highlighting a possible drop to $172.48, coinciding with the 50-day SMA as support. Weak volume delta, with a reading of -90.34K, underscores limited buyer enthusiasm, raising caution over sustained upward moves.

In summary, reclaiming $200 sets the stage for a bullish rally to $250, while rejection risks sliding toward $172.