Solana, a high-performance blockchain network known for enabling fast and scalable decentralized applications, has implemented its Transaction V1 format on the mainnet as of September 15. Thi
Solana, a high-performance blockchain network known for enabling fast and scalable decentralized applications, has implemented its Transaction V1 format on the mainnet as of September 15. This upgrade raises the maximum transaction size from 1,232 bytes to 4,096 bytes, significantly enhancing the network’s data-handling capacity.
The transition to Transaction V1 allows developers to package more instructions, signatures, and complex operations within a single transaction. By more than tripling the transaction size limit, Solana aims to support a new generation of decentralized applications that require greater operational flexibility.
Enhanced transaction capacity opens the door for advanced use cases, such as zero-knowledge proof-based privacy solutions, larger multisignature configurations, and more sophisticated decentralized finance (DeFi) operations. These improvements are expected to foster innovation across the Solana ecosystem and attract projects requiring higher complexity in on-chain interactions.
Mini dictionary: Zero-knowledge proofs, a type of cryptographic protocol, allow one party to prove possession of information to another without revealing the information itself. In blockchain applications, this can provide privacy for users’ transaction details or enable confidential smart contract execution.
Despite the increased technical capacity, the upgrade did not produce a significant reaction in the price of Solana’s native token, SOL. The token continued to face near-term selling pressure during and after the activation.
SOL has remained below its 20-period and 50-period moving averages on the hourly chart, signaling persistent weakness in short-term trading. However, the token trades above its 200-day moving average, preserving a healthier long-term structure even as short-term momentum stalls.
The nearest support is identified at $94.16. Market observers note that a failure to hold above this level could trigger further declines, potentially causing additional volatility if stop-loss orders and leveraged positions are liquidated. Key resistance sits just under $99, with $98.77 and $99.42 marking significant levels for a potential recovery attempt.
Support LevelResistance LevelsMoving Averages$94.16$98.77, $99.4220-period, 50-period (below price); 200-day (below price)Several momentum indicators remain negative for SOL. The Moving Average Convergence Divergence produces a strong sell reading, while the Average Directional Index supports the bearish trend. Bull/Bear Power measures also indicate that sellers are dominating the market, and both the Relative Strength Index and Stochastic RSI on the daily chart have turned downwards, sustaining the short-term weakness.
Technical models estimate a 76% probability of further downside for SOL, with a 24% chance of a relief rebound should buyers step in near the $94.16 support area.
Despite these pressures, analysts view Transaction V1 as a strategic step toward expanding Solana’s long-term capabilities. The recent upgrade is considered foundational, enabling more complex dApps and infrastructure that may fuel growth regardless of short-term token price trends.
The current market scenario highlights a divide between Solana’s strengthening technical fundamentals and persistent bearish price action for SOL. Developers now have broader options for building advanced blockchain applications on Solana, but immediate price appreciation remains elusive as technical indicators suggest continued caution among traders.
The post Solana activates Transaction V1, SOL trades near $94.16 support appeared first on COINTURK NEWS.
