- Solana is currently one of the best performing cryptos in the top 15
- Strong bullish sentiment within the community could also help SOL’s stock price
It’s no secret that Solana (SOL) has been making waves in the crypto market for quite some time. The entire crypto community loves SOL, and the memecoins have brought remarkable profits to investors and traders alike. So much so that the community is calling the summer of 2024 ‘Solana Summer’ in anticipation of the altcoin activating the long-awaited altseason.
Solana’s network has never been healthier
It has been reported that Solana’s network is currently the best performing network in the industry. According to on-chain analysis by Leon Waidmann, Solana’s total economic value, including transaction fees and MEV, has surpassed that of Ethereum’s main chain.
Moreover, data from Mint glass revealed that open interest in Solana rose by more than 1% in the past 24 hours, bringing it to approximately $2.1 billion. Trading volume has also increased by approximately 41%, adding almost $8 billion in market capitalization.
Source: Coinglass
Trading activity also showed that there is usually strong buying interest when prices are lower. If you look at the end of the graph there is a very strong sign of the return of Solana bulls, clearly confirming that Solana is really at the top right now.
Research on the price performance of SOL
AMBCrypto analyzed TradingView data for Solana’s year-to-date performance. The data showed that SOL predicted a strong upward move from early 2024, peaking around mid-February when the overall market was bullish.
After the peak, there was a notable decline with several bearish consecutive weeks of price declines for the coin.
Initial resistance was around $220 where the price peaked before turning south. After the peak, the price stabilized and found support around the $160 level as indicated by the last green candlestick which signifies a recovery or consolidation around this price.
The recent recovery around the $160 support level could indicate that prices could begin to stabilize or possibly rise if additional buyer momentum enters the market.
The coming week will determine whether the recovery will sustain itself or whether the downward trend will resume. Look for a possible retest of resistance around $180-$190 as a sign of continued near-term recovery.
As for whether SOL could trigger a bull run or not, the general agreement based on data and community sentiment is: it could.