Solana price experienced a notable bullish breakout on Monday as investors adopted a risk-on sentiment in anticipation of the Federal Reserve decision and key earnings reports. The price of Solana surged to $193, marking its highest level since April 1st. This shift in sentiment is reflected in the crypto fear and greed index, which climbed to the greed zone at 63, indicating increased investor confidence.

The rally was further supported by a recovery in futures open interest. Data indicates that interest reached $3.25 billion on Monday, its highest since April 1st. This upward trend in open interest, which had previously bottomed at $1.77 billion earlier this month, suggests robust demand for Solana and the potential for continued price increases.

It’s worth noting that Solana is not the only cryptocurrency experiencing elevated open interest in the futures market. Bitcoin also saw record open interest on Monday, influenced by recent endorsements from notable figures.

Solana’s fundamentals remain strong. Ecosystem fees have surged to $2.13 million in the past 24 hours. Market participants believe that Solana could surpass Ethereum’s fees in a single day this month. Additionally, the number of active addresses within the Solana ecosystem has risen to over 1.22 million, with significant demand observed in networks like Jito, Marinade, and Kamino.

Solana’s ecosystem fees have surged, indicating robust network activity and potential growth.

From a technical perspective, the recent breakout appears promising. On the daily chart, Solana found strong support at $120.50, a level it failed to drop below on multiple occasions since April. The token has also moved above the upper side of the symmetrical triangle pattern, a bullish pennant chart pattern. Additionally, it surpassed the crucial resistance point at $188.20, its highest level in May this year. This suggests that Solana may continue to rise, with buyers potentially targeting the year-to-date high of $210.15.

In the coming week, several macro factors could influence Solana’s price. Companies like Franklin Templeton and Blackrock might submit their Solana ETF documents to the Securities and Exchange Commission. The Federal Reserve is expected to signal interest rate cuts in its September meeting, which would be positive for risk assets like Solana and Cardano. Furthermore, major US companies such as Amazon, Microsoft, Meta Platforms, and AMD will release their financial results, potentially impacting market sentiment.

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