In Friday’s US trading session, the crypto market rebounded with renewed buying strength as the Bitcoin price spiked 4.34%. After a week-long consolidation, the bullish momentum uplifted most major altcoins, including SOL, to kick-start a sustainable recovery. The Solana price is up 5% today, indicating potential for further recovery as the Total Value Locked (TVL) continues to rise.
Solana Price Gears Up for 25% Rally as TVL Edges Toward $6 Billion
Following the initial market sell-off triggered by geopolitical tension in the Middle East, the Solana price plunged $136.2 in early October. The coin price managed to stabilize with short consolidation and developed a bullish reversal double-bottom pattern.
The SOL price has been up 7.8% in the last 48 hours to trade at $145, while the market cap boosted to $68.28 billion. The recent price jump also reclaimed the crucial daily EMAs (50, 100, and 200), positioning SOL price for further rally. With sustained buying, the Solana price could rise 25% to hit $180, challenging the triangle resistance for the pennant pattern.
Theoretically, the pattern shows a long pole defining the primary trend, followed by a counter-trend move led by two converging terminals. The short pullback is meant to recuperate exhausted bullish momentum and offer a strong breakout for the next big move.
Thus, a potential break-out from the overhead trend line will accelerate the bullish momentum and trigger the Solana price prediction rally to $209, followed by $275.
SOL TVL Surges to $5.7 Billion with User Activity at 3.44M
According to theBlock data, Solana’s active addresses have swiftly rebounded to 3.44 million, highlighting a surge in user activity and engagement on its network. This increase in active addresses signals growing confidence and participation in Solana’s ecosystem, which is a positive indicator of network health.Â
In addition, Solana’s Total Value Locked (TVL) has displayed a steady upward trend since March 2024. According to DeFiLlama data, the SOL TVL has surged by $5.7 Billion. Reflecting increased investor confidence and engagement in decentralized finance (DeFi) projects within its ecosystem.
On the contrary, if the Solana price breaks below the pennant’s lower trendline, the bearish momentum will accelerate, extending the correction trend to $100, followed by $80.
Frequently Asked Questions (FAQs)
Solana’s price is up 5% today, and this momentum is expected to continue toward a 25% surge, driven by rising Total Value Locked (TVL) in its decentralized finance (DeFi) ecosystem
Solana’s price formed a bullish double-bottom pattern after a stabilization period following an initial sell-off
If Solana’s price drops below the pennant’s lower trendline, bearish momentum could accelerate, extending the correction
Sahil Mahadik
Sahil is a dedicated full-time trader with over three years of experience in the financial markets. Armed with a strong grasp of technical analysis, he keeps a vigilant eye on the daily price movements of top assets and indices. Drawn by his fascination with financial instruments, Sahil enthusiastically embraced the emerging realm of cryptocurrency, where he continues to explore opportunities driven by his passion for trading
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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