- The number of daily active addresses on Solana has surged to unprecedented levels, fueled by increasing activity in the DeFi sector.
- The Total Value Locked (TVL) in Solana’s DeFi ecosystem has also reached a remarkable 34-month high of $6.48 billion.
Solana [SOL] has seen a 7% rise over the past week and a 16% increase in the last two weeks, trading at $165 at the time of writing.
The overall bullish trend in the cryptocurrency market has contributed to SOL’s rebound, with network expansion serving as an additional driver behind its recent performance.
According to data from Token Terminal, the number of daily active addresses on Solana has been steadily increasing and currently sits at an all-time high.
This trend reflects a positive outlook for Solana as users actively trade SOL or engage with the decentralized applications (dApps) built on its blockchain.
Recently, daily revenue on Solana surged to $2 million, marking the highest level in the past six months and highlighting the growing demand for the platform.
Source: Token Terminal
Will Solana surpass Tron in DeFi TVL?
A growing area of usage for the Solana network is decentralized finance (DeFi). Data from DeFiLlama indicates that Solana’s DeFi Total Value Locked (TVL) has hit a 34-month high at $6.48 billion.
Meanwhile, the TVL for Tron (TRX) has decreased to $6.94 billion. If Solana’s TVL continues to grow, it could potentially overtake Tron, positioning itself as the second-largest blockchain by this measure.
Solana’s DeFi revenues have also surged to the highest level since March, highlighting increased usage within the ecosystem.
Source: DeFiLlama
The expansion of a blockchain network is generally regarded as a positive indicator and could trigger a price rally. In addition, various technical indicators suggest that despite the recent pullback, SOL’s upward momentum is strengthening.
Technical indicators signal bullish trends
Currently, SOL is 36% below its all-time highs, but several bullish indicators are converging, possibly propelling SOL past $200 and onto new record territory.
Solana is operating within an ascending parallel channel on the one-day chart, reinforcing the presence of a bullish trend.
The altcoin is also encountering resistance at the upper trendline, indicating that sellers are taking profits as Solana approaches this point.
Source: TradingView
The Chaikin Money Flow (CMF) has not only remained positive but has also made a notable upward movement. This suggests a strong bullish sentiment as capital inflow towards Solana is robust.
Moreover, the Average Directional Index (ADX) is trending upwards, indicating that the prevailing uptrend is gathering strength.
As these bullish indicators align, SOL may strive for the next resistance mark at $171. A breakthrough at this level would signal a breakout from the ascending parallel channel, laying the foundation for further gains.
Discover Solana’s [SOL] Price Prediction for 2024–2025
These bullish signals have also piqued the interest of long traders, as Solana Funding Rates have remained positive for the past two weeks.
This indicates that long positions are willing to pay a premium to maintain their trades, which supports the bullish outlook.
Source: Coinglass
