Solana price has been among the best-performing cryptocurrencies in the top 100 cryptocurrencies by market capitalization in recent days. The digital asset has jumped by more than 20% in the past week and nearly 73% in the month to date, wiping losses made this year.
Solana’s total market cap has gained 7.15% in the past 24 hours to $15 billion, with the total volume of SOL traded over the same period increasing by more than 145%. At the time of writing, SOL price was trading 6.30% higher at $34.95, its highest level since October 2022.
Solana price has been in the limelight over the past week in the wake of its latest price pump and bullish sentiment by markets. Solana, the cryptocurrency that powers the high-performance smart-contract-enabled layer-1 Solana blockchain, currently ranks as the 7th largest cryptocurrency by market cap, surpassing its rivals such as Cardano and Dogecoin.
The altcoin has recorded a significant comeback this year after the collapse of the ill-fated crypto exchange FTX saw Solana pull back more than 95% from its all-time high of around $260. The cryptocurrency has recovered more than 300% from last year’s lows of about $8. Notably, its ecosystem has posted an impressive rebound in liquidity this year.
Data by DeFiLlama shows that the total value locked (TVL) in Solana-based smart contracts remains in an upward trajectory and at $1.2 billion, has more than doubled since the start of 2023. Additionally, reports by CCData show that Solana-based products observed the most significant increase in the total number of assets under management (AUM), climbing by 74% to $140 million in October.
The recent pump in the crypto prices amid Bitcoin’s EFT buzz has also buoyed the Solana price. Bitcoin, the largest cryptocurrency by market cap, has been hovering around $34,500, its highest level in more than a year. This move saw most crypto prices edge higher due to their close correlation with the flagship cryptocurrency.
Solana Price Outlook
Solana price has been on a consistent uptrend over the past few days, suggesting that bulls have retained the upper hand. As seen on the daily chart, the asset has formed an ascending bullish channel shown in yellow. Solana remains above the 50-day and 200-day exponential moving averages, as well as the 100-day and 200-day simple moving averages. Its Relative Strength Index (RSI) has also remained in the overbought zone at 77.
Therefore, the Solana price is likely to continue moving higher in the medium-term as bulls eye the next resistance at $40. A breach above this level might pave the way for further increases to the next resistance at $55. However, a drop below the 50-day EMA at $25.45 will invalidate the bullish thesis.