|

Solana price breaches key weekly resistance, SOL gains are likely sustainable

  • Solana price rallied past the weekly resistance at $76, eyeing the $80 target for the altcoin. 
  • SOL price gains are likely sustainable as the asset’s on-chain metrics support a bullish outlook. 
  • Solana yielded nearly 27% weekly gains for SOL holders.

Solana accompanied other altcoins as they rallied alongside Bitcoin and yielded double-digit weekly gains for holders. SOL holders gained 27% in the past week as the asset rallied past its weekly resistance.

Also read: Cardano, Solana and Algorand see one of the highest social dominance days in 2023

Solana TVL hits highest level in 2023

The Total Value Locked (TVL) in the Solana blockchain hit its highest level in 2023. According to data from crypto intelligence tracker DeFiLlama, $926.49 million in assets are locked in the Solana blockchain. This is the highest level of TVL seen since the beginning of 2023.

Rise in TVL is indicative of higher adoption and utility of Solana among traders in the crypto market. It boosts the security of the Solana network.

Solana TVL hits highest point in 2023 Source: DeFiLlama

Solana TVL hits highest point in 2023 Source: DeFiLlama

Bullish on-chain metrics support SOL gains

The count of Daily Active Users (DAU) in the Solana blockchain has hit its highest level in six months, according to Token Terminal. Solana DAU now climbed to 287,327 on December 9. 

SOL DAUs

Daily active users in the past six months Source: Token Terminal

Solana price rallied past the weekly resistance at $76. The altcoin is trading at $76.40 on Binance after printing 2.15% daily gains. SOL holders noted 28% weekly gains on Binance.

The social dominance of the altcoin is on the rise as market participants rotate capital among top cryptocurrencies. Social dominance, as seen on Santiment, climbed to a level previously seen on November 2, 2023. This supports a bullish thesis for SOL price.

Author

Ekta Mourya

Ekta Mourya

FXStreet

Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.

More from Ekta Mourya
Share:

Editor's Picks

Democrats win House and Senate in US midterms: Why isn’t all bad news for crypto

The biggest story this week was Tuesday’s US midterm elections, which saw Democrats win control of both the House and the Senate in a clear blue wave. This political shift in the US has triggered sharp price swings across the cryptocurrency market.

Ripple nears oversold territory as traders eye buying opportunities

Ripple remains structurally capped near $1.20 after selling pressure wiped out the early-week rise to $1.34, driven by the US midterm elections. Market participants exhibited regulatory concerns ahead of the Democrats taking control of Congress in January, with many repositioning and adjusting their portfolios.

Bitcoin Weekly Forecast: Bears tighten grip as BTC eyes fifth weekly loss

Bitcoin is down over 3% this week, trading near $75,500 on Friday and heading for its fifth straight weekly loss. A sharp sell-off in US technology stocks reversed Bitcoin’s post-election rally on Thursday, triggering a wave of liquidations across the market and intensifying bearish pressure.

Post-US midterm elections market sell-off weighs on PI

Pi Network (PI) continues to attract sellers, as the post-US midterm results triggered a sell-off in the US tech stock market and also wiped out over $1 billion from the crypto market.

Bitcoin: Bears tighten grip as BTC eyes fifth weekly loss
Bitcoin (BTC) remains under pressure, down over 3% this week, trading near $75,500 on Friday and heading for its fifth straight weekly loss. Persistent outflows from US-listed BTC spot Exchange Traded Funds (ETFs), a sharp sell-off in US technology stocks, and rising market liquidations are weighing on sentiment and limiting Crypto King’s recovery attempts.