Solana Faces Short-Term Bubble Risk as Futures Open Interest Hits $7B

• Solana’s bubble risk value reaches 1.28, signaling potential price volatility.
• Solana’s futures open interest surpasses $7B, reflecting renewed investor confidence.
• $SOL’s price exceeds $200, showing strong bullish momentum since mid-April 2025.

Solana ($SOL) has been experiencing fluctuating short-term bubble risk metrics, indicating market volatility. According to Into The Cryptoverse data, Solana’s bubble risk has been moving toward heated zones, recently reaching a value of 1.28. 

This metric indicates a growing risk of overvaluation as the price pushes higher. The chart tracking risk levels since mid-2020 highlights notable periods of extreme market conditions. 

For example, late 2021 marked a peak with intense red and orange zones, signaling an overheated market. In contrast, 2022 was characterized by deep blue areas, indicating undervaluation. As of now, yellow and light-green risk zones suggest a more balanced, yet cautious market environment.

Futures Market and Growing Participation

Solana’s presence in the futures market has been gaining momentum, with open interest exceeding $7 billion in early 2025. According to data from Glassnode, this surge in futures activity closely aligns with the rise in Solana’s price, reflecting strong investor confidence. 

Open interest has been rising since late 2024. After a brief dip in early 2025, both the price and open interest surged again, showing increased market participation.

The growth in open interest suggests that speculative demand is driving much of the activity, and traders are positioning themselves for potential upward price movements. With Solana trading above $200, its market strength is becoming more apparent. 

Solana’s Bullish Trend and Support Levels

Solana ($SOL) is currently trading at $218.88, showing a 2.23% gain for the day. This marks a consistent uptrend since mid-April 2025, with higher lows supporting the bullish momentum. 

The price recovered from a dip below $130 earlier this year and is now testing resistance levels near $220. If Solana can break this resistance, the price may move toward the $240–$260 range. Support remains strong around $200, offering a cushion for the price in the event of short-term pullbacks.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.