Solana on-chain data shows that long-term investors will face more favorable risk-return conditions.

Solana's Sharpe ratio has reached a rare high, indicating that as downside volatility diminishes, its risk-adjusted performance has improved. Analysts point out that the current level is consistent with previous cycle peaks, which typically signal a market in consolidation or early recovery rather than an immediate breakout. This suggests that the market environment is more conducive to long-term accumulation, with risk and return more balanced, but the overall market condition remains a key factor for sustained upward movement.