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As of 11:30 p.m. EST, the price of Solana is $101, up 5% from the previous day.
Over the last three months, the total value locked on Solana has significantly increased, indicating an increasing interest from developers in the layer 1 protocol.
The current upward trend in the whole cryptocurrency market has helped the price of Solana.
More significantly, variations in the data acquired also highlight the state, rate of growth, and sustainability of the project environment.
CoinMarketCap statistics shows that during the course of three months, Solana’s trading volume surged by over 799%, reaching $4.2 billion on January 10.
Solana’s total value locked (TVL) has surged over the last three months, climbing more than 365% from $329 million at the beginning of October to the current amount of $1.533 billion, according to statistics from blockchain data analytics startup DefiLlama.
The staking protocol Marinade Finance, which has $1.041 billion locked, Jito, which has witnessed a 664.79 million, Marginfi, with $384.3 million, Kamino, with $236 million, and BlazeStake, with $224 million, are the protocols driving Solana’s increasing TVL.
Is Solana’s optimistic flag a sign of things to come?
After hitting a 20-month high of $122 on December 25, the price of SOL declined as sellers booked profits and the whole cryptocurrency market fell.
On the daily chart, a bull flag that suggests the uptrend will continue is visible despite the pullback.
At $98, the top boundary of the flag represents resistance, and bulls have driven the price above it, indicating a potential breakout from the chart formation.
This indicated a rise to the ruling chart pattern’s technical target of $148. This would be a 49% increase above the current price.
The relative strength index (RSI), the 50-day exponential moving average (EMA), the 100-day EMA, and the 200-day EMA were all pointing upward, indicating that the market circumstances were still favorable for growth.
The market was still controlled by bulls, as evidenced by the price strength at 54.
The 50-day EMA around $87, on the other hand, would serve as the first line of defense should the bears manage to drive the price lower.
The flag’s lower boundary of $80, the primary support level of $73, and the support area between $70 and $53, where the 100-day and 200-day EMAs are located, might all provide further support lines.
Disclaimer: The information provided in this article is for educational purposes only and should not be considered financial advice.
Cryptocurrency investments are inherently risky, and readers should conduct their own research and seek professional advice before making any investment decisions.
