Solana is distinguishing itself in the cryptocurrency market, with notable monthly gains of 50% and an extraordinary 450% year-to-date increase, contributing to an overall surge in optimism.
This trend is further amplified by Bitcoin’s rise beyond $37,000 and its ambitious goal of reaching $40,000 by the end of the year. Solana’s outstanding performance adds a notable dimension to the current positive sentiment prevailing in the cryptocurrency space.
In the early morning rally, Solana broke the $50 barrier, marking its highest point since May 22, 2022. This exceptional performance underscores the growing confidence in the cryptocurrency space, with Solana’s breakout signaling its importance in the current market rally.
The massive increase in SOL price can be attributed to the significant progress of BlackRock’s application for an Ethereum Exchange Traded Fund (ETF). This observation indicates increased recognition and approval of assets built on the Ethereum platform, which in turn contributes to the positive trajectory of the overall cryptocurrency market and has a definite impact on Solana’s performance.
Solana: Navigating the FTX liquidation wave and the post-conference boom
In particular, this spike also occurred during the ongoing liquidation of SOL tokens by the bankrupt FTX company. Only in September of this year, the Delaware Bankruptcy Court granted approval to dispose of the defunct exchange’s assets, which included SOL 55.75 million.
Following its annual conference, Solana saw an impressive price rise that demonstrated its resilience in the face of uncertainty surrounding FTX Group, a major SOL token holder currently experiencing financial turmoil.
SOL market cap at $22.7 billion on the weekend chart: TradingView.com
SOL’s growing trajectory looks to favor FTX’s creditors despite FTX’s contradictory statements regarding its investments. SOL’s current trading range may be able to offset the losses incurred by users of the FTX exchange, according to Thomas Brazil, CEO of 117 Partners.
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Solana has a sustainable upward trajectory
Meanwhile, Jacob Canfield, a well-known figure in the cryptocurrency trading space, provided an analysis illustrating his belief in the continued upward trajectory of Solana’s price rise. Canfield expressed his belief that Solana is poised to maintain its position as one of the most influential entities in the ongoing bull market cycle.
In my opinion, I think so @Solana It will continue to be one of the biggest drivers during the current bull market cycle and I will throw you some ideas.
It is possible that with the news of Ethereum ETF, some of these ideas will not be implemented, but it is worth it… pic.twitter.com/oii8vWs0W9
– Jacob Canfield (@JacobCanfield) November 9, 2023
In another development, the downward trend of Total Value Locked (TVL), which reflects the amount deposited in its smart contracts, has reversed after six consecutive weeks. In the past three days alone, Solana deposits into DApps have seen a 10% increase.
Although the current level of 11.1 million soles is still below the FTX exchange’s pre-bankruptcy level of 30 million soles, this recent upward trend indicates that the Solana network may have gone through its worst period.
SOL TVL. Source: DefiLlama
In the coming days, the path remains dynamic and uncertain as the complex dance between bulls and bears unfolds. There could be a major pullback in Solana’s cards if the bears continue, testing the crucial support at $38.77 during the current month.
On the flip side, failure to sustain prices above $54.01 and a bearish takeover could result in a loss of momentum, leading to a drop to the $46.83 support level.
However, if the bulls maintain control and keep the price above $54.01, the market is positioned for a strong rally, which could challenge the $57.84 resistance level. Moreover, a break above the $60.06 level could pave the way for a sustained rally towards the upper resistance at $65.08.
Will SOL reach $60 in November?
With Solana crossing the $54 mark, speculation looms as to whether SOL will rise to $60 during the current month. The recent shift in momentum and positive trends in Total Value Locked (TVL) and DApp deposits indicate an optimistic outlook for Solana.
Investors are closely monitoring developments, looking to see if the cryptocurrency is able to maintain its upward trajectory. The coming days hold the key to whether Solana will achieve the $60 target, marking an important chapter in market performance.
(The content of this website should not be construed as investment advice. Investing involves risk. When you invest, your capital is at risk.)
Featured image from Pixabay