Solana’s Price Surge & the Risk of a Liquidation Trap

Solana (SOL) is experiencing significant price action, with Open Interest hitting $6.8 billion – its highest level since March – and a 5% surge in TVL to reach $118 billion. This has fueled speculation about continued gains, but key indicators warn of potential volatility and risk. The recent rise in futures activity indicates traders anticipate more price upside rather than hedging against losses. However, a pullback from the record highs near $175 suggests a balance between bullish sentiment and cautious positioning.