On October 25th, in the market-wide rally led by Bitcoin (BTC), the price of SOLANA’s native SOL coin rose, SOLANA’s total value locked (TVL) hit a record high, and the price of SOL saw a promising technical trend.
Bitcoin sparks a market-wide rally
SOL climbed more than 6 percent to hit an intraday high of around $214. The price of SOL has risen a little more than 35% in the past week, bringing it closer to its all-time high of around $222 set in early September.
Bitcoin rallied to a new record high of $67,000 last week, pushing the total cryptocurrency market capitalization past the $2.5 trillion mark, a new milestone for cryptocurrencies.
Top 10 cryptocurrencies and how they have performed over the last seven days. Source: Messari
This has propelled SOL higher, with rivals ether (ETH) and Cardano’s ADA also up 10% and 1%, respectively, over the past week.
Solana TVL hits record high
According to data aggregation service DeFi Llama, the increase in SOL’s price comes as the TVL of all decentralized finance (DeFi) projects built on the Solana blockchain hit a new record high of $13.53 billion.
Solana TVL hits new highs. Source: Defi Llama DEFi Llama
The most dominant DeFi project on the Solana blockchain is Saber, an automated market maker (AMM) protocol that enables Solana users and applications to efficiently trade between stable asset pairs, and by providing liquidity to the platform to obtain income.
As of publication time, its contribution to Solana’s liquidity pool is $2.05 billion.
At the same time, there are four DeFi projects with a TVL of more than $1 billion. These projects include Raydium ($1.91 billion), Sunny ($1.73 billion), Serum ($1.69 billion) and Marinade Finance ($1.63 billion).
Solana also announced that it will add more DeFi projects to its list after the completion of the “Ignition” hackathon on October 18. Users will need to hold SOL tokens to use these applications in order to pay transaction fees, raising the prospect of high demand for the token in the future.
SOL Price Technicals
SOL's latest price increase is part of a breakout pattern that appears to be a bullish pennant. As Cointelegraph reported earlier, the technical outlook could push SOL to around $85, the maximum distance between the upper and lower trendlines of the pennant.
Daily price chart for SOL/USD with pennant breakout pattern. Source: TradingView
So, adding $85 on a breakout near $158 gives SOL a price target of $243 -- close to $250. Meanwhile, a retest of the pennant's ascending trendline as support would likely invalidate the bullish move.
Solana faces a 17% price drop, reflecting potential challenges ahead. However, market-wide factors and upcoming developments could influence its trajectory in the mid-to-long term.
Cheng YuanAnalysts foresee a potential correction in Solana's price, with varied predictions on specific levels. The current market status reflects a recent decline, emphasizing the need for investors to monitor key support levels.
BerniceMatrixport will delist Solana and SOL-U on Dec. 30. The platform won't introduce any new Solana products.
BeincryptoThe daily RSI has generated bullish divergence.
BeincryptoBinance, BitMex, and ByBit suspended the deposits of USDC and USDT on the Solana network.
BeincryptoSolana price prediction: 33% of an in-industry expert panel say they are losing trust in SOL and the Solana team. The result follows network outages and dramas like the $661k DEX loss. This is according to the latest Finder report.
BeincryptoSOL price gained 75% in the past two months, but technical analysis suggests it could be an elaborate bull trap.
CointelegraphSolana is tailing broader crypto market trends while battling concerns about repeated network outages and centralization.
CointelegraphSOL price has been repeatedly knocked down by network outages, a shrinking total value locked on the network and futures traders’ disinterest in trading the altcoin.
CointelegraphSolana market grapples with multiple bearish setups if it breaks below its key 50-week moving average.
Cointelegraph