Solana (SOL) Surges Past $90 as $16M Short Liquidation Sparks Rally

Table of Contents Solana (SOL) has emerged as one of the standout performers among major altcoins this week, climbing toward the psychologically important $90 level after posting nearly 5% gains in a single trading session. This upward momentum aligns with renewed strength across the broader cryptocurrency market, where Bitcoin hovers above $81,000 and Ethereum trades near $2,300. Session volume for SOL spiked 30% to approximately $6 billion during the push toward $90. This volume represents more than 11% of the token’s circulating market capitalization, signaling substantial buying interest at current price levels. Crypto analyst Ali Charts shared on social media that SOL appears to be “in the middle of a bullish breakout,” while trading firm Rand Group observed that the token seems to be breaking through a yearly downtrend resistance line—a technical barrier that market participants have monitored for several months. Solana $SOL is in the middle of a bullish breakout! pic.twitter.com/OvG2KwCaIL — Ali Charts (@alicharts) May 6, 2026 Derivatives market activity reflected heightened trader engagement, with open interest across exchanges increasing 10% to $5.55 billion. The options market experienced the most dramatic expansion, with trading volume exploding 194% to $17.72 million. Overall trading volume reached $12.92 billion, representing a 78.75% session-over-session increase. The cryptocurrency market witnessed over $400 million in short position liquidations during a 24-hour period. Solana accounted for $16 million of these forced closures—marking the largest single-day short liquidation event for the asset since April 15, when SOL similarly tested the $90 price point. Notably, Bitcoin represented less than half of total liquidations during this period. This distribution suggests that alternative cryptocurrencies are gaining increased participation in the current market upswing. Year-to-date performance shows SOL up 6.5%, trailing Bitcoin’s 17% gain and Ethereum’s 10% advance. This performance differential reflects investor caution amid ongoing macroeconomic headwinds and geopolitical instability. The Crypto Fear and Greed Index currently registers 52, indicating neutral market sentiment. Solana co-founder Anatoly Yakovenko discussed the forthcoming Alpenglow upgrade during his appearance at Consensus Miami 2026. According to Yakovenko, this network enhancement focuses on delivering faster and more reliable transaction confirmations, addressing latency issues and uncertainty that can affect network users. 🚨JUST IN: @Solana co-founder @toly says Alpenglow, the most significant consensus upgrade proposed in Solana’s history, could release as early as next quarter. pic.twitter.com/EWeaszkAh9 — SolanaFloor (@SolanaFloor) May 5, 2026 Yakovenko indicated that if development progresses according to plan, Alpenglow could deploy as soon as next quarter, with a definitive deadline set for before year-end. The primary objective centers on aligning confirmation speeds more closely with actual data transmission capabilities. Chinese cryptocurrency news outlet Wu Blockchain also reported on the announcement, highlighting that Alpenglow aims to enhance support for latency-sensitive applications by improving timing accuracy while maintaining Solana’s established high-throughput architecture. From a technical analysis perspective, the 4-hour Relative Strength Index (RSI) climbed to 71, suggesting robust buying pressure. The Moving Average Convergence Divergence (MACD) indicator has also generated a bullish crossover signal. Near-term resistance appears at $92, with subsequent targets at $96 and $100. Downside support remains anchored at $85. Network fundamentals show on-chain fee generation remaining modest, with Solana decentralized applications producing approximately $15 million in fees last week—a significant decline from the $410 million recorded in January 2025.