Solana (SOL): Is the Next Leg Toward $120.52 About to Began?SolanaCRYPTO:SOLUSDKap_WavesSolana has staged one of the stronger recoveries across large-cap crypto, moving from the low-$70s in early August to around $106.69 on the current 4-hour chart. The rally has not been purely technical. Institutional demand, tighter tokenomics and expanding access through traditional financial platforms have all strengthened the SOL narrative. But the chart is now approaching a key decision point: $110.65. A sustained break above that level would confirm the higher-move scenario shown in the current Elliott Wave structure, with $120.52 as the chart's next major target. -- What's Driving Solana? Several Solana-specific catalysts have reinforced the recent rally. The most important is the combination of institutional demand and tighter future supply. U.S. spot Solana ETFs have continued attracting capital. By August 25, cumulative net inflows had reached a record $1.22 billion, following five consecutive sessions of inflows. That institutional bid has remained notable even as the broader crypto market has become more volatile. On August 28, Solana ETFs reportedly attracted another $17.3 million, while U.S. spot Bitcoin ETFs recorded $201.9 million in outflows. The second major catalyst is Solana's first binding governance vote. Validators approved a proposal to accelerate SOL's disinflation rate, reducing the pace of new issuance and bringing the network toward its 1.5% terminal inflation rate sooner. Solana has also been expanding access through traditional finance. Charles Schwab added SOL to its crypto trading platform, giving its clients another regulated route to trade the asset. Meanwhile, network development continues. Solana has been progressively reducing slot times, with feature gates reaching 350ms on mainnet in August, alongside continued Agave and Firedancer development. Fundamentals are strengthening the narrative, while the technical structure is now testing whether that narrative can produce another impulsive leg higher. -- Technical Analysis The 4-hour chart shows Solana emerging from a prolonged corrective structure that developed through June and July. After completing the larger corrective sequence around the high-$60s/low-$70s, SOL began forming a new upward structure. The advance accelerated sharply in the second half of August, taking price from the mid-$70s through the $80–82 resistance zone and into the current five-wave structure. The chart does not mark a specific hard invalidation level for the current setup, so the analysis should not assign one artificially. Bullish Scenario A sustained break above $110.65 would confirm the higher-move scenario shown on the chart. If that occurs, the next major objective is: $120.52 This level sits inside the upper resistance/supply zone shown on the chart and represents the next significant target for the current wave structure. A clean breakout would also strengthen the interpretation that the current wave (4) correction has completed and that the final advancing phase is underway. Bearish Scenario The immediate bearish scenario is a failure to clear $110.65, followed by a deeper correction. A rejection would not automatically invalidate the broader bullish structure. It would simply mean that the chart's confirmation condition has not been met. The $78–82 region is important because it was the major consolidation and breakout area preceding the latest acceleration. A substantial move back into that region would weaken the current momentum structure and require reassessment. Kap Waves Outlook Solana currently has something Bitcoin does not to the same degree: strong asset-specific catalysts supporting the technical structure. ETF demand remains significant, SOL's supply trajectory is becoming tighter following the governance decision, and access through traditional financial platforms is expanding. Technically, however, the next move still needs confirmation. $110.65 is the level to watch. A sustained break above it would confirm the higher-move scenario and put $120.52 in focus. Until then, SOL remains in a strong but unconfirmed continuation setup.