The SOL chart has all the signs of a classic secular uptrend continuation. This can be seen both on its daily and weekly chart, with the weekly chart showing a more obvious bull flag pattern that could see prices head to $300 in the coming months.
Fundamental factors also support the price of SOL continuing to rocket higher, with its surge in TVL supporting the price appreciation. Not only that, the launch of Wormhole would bring users from other chains into the Solana ecosystem and increase usership on Solana-based DeFi and NFTs.
Thus, SOL’s rise should be credited to rising NFT and DeFi usage on the high-volume blockchain network. While the rally to the top was backed by strong volumes and price pumps, another factor was skyrocketing social sentiment.
Solana even overtook Uniswap to become the tenth-largest crypto by market capitalization and a huge part of this run was credited to growing retail euphoria about the altcoin. The token was trading just under the $75 price level, at press time. Solana, alongside Cardano, seemed to be one of the few cryptos to have totally recovered from the 19 May crash.
This current price move is reminiscent of the time when MATIC had its first explosive TVL growth at the end of April which saw its price surge five-fold within a month.
I believe we are going to see the same with SOL. Extremely bullish times ahead, says PrimeXBT analyst Kim Chua
About Kim Chua, PrimeXBT Market Analyst:
Kim Chua is an institutional trading specialist with a track record of success that extends across leading banks including Deutsche Bank, China Merchants Bank, and more. Chua later launched a hedge fund that consistently achieved triple-digit returns for seven years. Chua is also an educator at heart who developed her own proprietary trading curriculum to pass her knowledge down to a new generation of analysts. Kim Chua actively follows both traditional and cryptocurrency markets closely and is eager to find future investment and trading opportunities as the two vastly different asset classes begin to converge.