Solana bull flag, rising stablecoin market cap hint at SOL price rally to $220
Solana's native token, SOL, experienced a decline after reaching $156 on April 25, but indicators suggest potential for future gains. The stablecoin market cap on Solana surged by 156% in 2025, exceeding $13 billion, with Circle's USDC holding a 77% market share. Stablecoins are crucial for Solana's DeFi ecosystem, enhancing liquidity and increasing SOL demand for transaction fees and staking. Historical data shows that rising stablecoin inflows correlate with SOL price rallies. Solana's total value locked (TVL) increased from $6.1 billion to $7.65 billion within a month, and daily transactions rose by 25% to 57.77 million. Solana leads in DEX volumes with a market share of 27.7%. A bull flag pattern suggests a potential price target of $220 for SOL, contingent on maintaining support between $120 and $130.
