Solana Rebounds as On-Chain Volume Tops $1.1 Trillion, ETP Inflows Rise

Solana (SOL) rebounded toward the $89 level on Wednesday ET, extending a short-term recovery that traders increasingly attribute to a sharp rise in on-chain activity and growing “institutional demand” through listed products.

SOL was changing hands around $88.90, up about 4.6% over the prior 24 hours, after adding roughly 1.8% in the preceding 12-hour window. Some technical analysts pointed to the $110–$112 area as a key near-term breakout zone, while also noting the market is still working through elevated volatility following a steep year-to-date drawdown.

On-chain usage jumps in Q1 2026

The most significant development cited in the report was activity on the Solana network. Data referenced by exchanges including BYDFi and MEXC said Solana’s on-chain transaction value in the first quarter of 2026 topped $1.1 trillion for the first time, rising 6,558% quarter-on-quarter.

Daily active users were estimated at roughly 4.6 million, reinforcing the view that the increase is not confined to speculative trading but also reflects broader usage across applications.

Tokenized finance momentum and RWA lending

Solana’s momentum in tokenized finance tied to “real-world assets” (RWA) was highlighted as a key driver. Solana-based RWA lending deposits reportedly reached $1.23 billion in Q1, up 115% quarter-on-quarter, edging past Ethereum (ETH) at about $1.13 billion.

Market participants interpreted the crossover as evidence that Solana is gaining traction with products emphasizing speed and cost efficiency, even as Ethereum remains the dominant base layer for much of DeFi.

Listed products and regulated capital flows

Capital flows also suggested SOL exposure is increasingly being packaged for regulated channels. Solana-linked exchange-traded products (ETPs) drew approximately $200.8 million in net inflows over the quarter, according to figures cited in the report.

Interactive Brokers opened Solana trading access for European investors, while spot Solana ETFs managed by Bitwise and Fidelity were said to have surpassed $1 billion in combined assets, indicating demand is broadening beyond crypto-native venues.

Potential bank pilot using atomic swaps

Industry sources pointed to an upcoming pilot in which European banks are expected to test FX transactions using “atomic swaps” on Solana by late April. Details were described as limited, but such pilots are typically monitored for potential signals of deeper integration of public blockchains into bank workflows, including cross-border settlement and post-trade processes.

Infrastructure upgrades: Firedancer and roadmap targets

On the infrastructure side, Solana’s performance roadmap was positioned as a catalyst. The network’s rollout of the Firedancer validator client—designed to improve throughput and resilience—has reportedly pushed processing capacity above 5,500 transactions per second (TPS) while maintaining full uptime.

Developers are still targeting a longer-term goal of 100,000 TPS. Several major upgrades are slated for 2026, including Alpenglow, described as a rewrite of the consensus mechanism, and ACE, aimed at fairer transaction execution. Proponents said the combined improvements could reduce “finality” to under one second and strengthen fault isolation during periods of heavy load.

Ecosystem expansion: Saga 3 and Darklake Labs

Beyond the core protocol, ecosystem expansion was also cited. The Saga 3 smartphone—positioned around decentralized applications and “DePIN” functionality—was reported to have reached 500,000 units shipped. Separately, Solana-focused firm SOL Strategies completed its acquisition of Darklake Labs, described as part of a broader push to deepen tooling and application development around the network.

Price outlook: rebound vs. lingering skepticism

Despite the rally, skepticism remains. The report noted that SOL is still down roughly 68% year-to-date, underscoring what some traders describe as a gap between improving fundamentals and price discovery.

In the near term, analysts pointed to consolidation above the $85 area, with a likely trading band of $90–$96 into late April. They also emphasized that holding the $82.50 level is critical to preserving the current rebound structure.

Analyst projections

Looking further out, Standard Chartered reiterated a constructive stance, projecting SOL could reach $250 by the end of 2026, with longer-term upside estimates extending to $407 in more bullish scenarios.

For the market, the next test is whether rising network usage, product inflows, and scheduled upgrades can translate into sustained demand—turning a short-term bounce into a more durable re-rating for Solana’s position in the smart-contract landscape.