• Solana gets her $200 back — Three reasons why the price of SOL has risen by 35% in seven days

  • Solana’s (SOL) price rose on Monday as a result of a market-wide price rally led by Bitcoin (BTC), with its total volume locked (TVL) reaching new highs and a promising technical setup.

    Bitcoin sparks a market-wide rally

    SOL increased by more than 6% to an intraday high of around $214. The SOL is now up slightly more than 35% in the last week, bringing it closer to its all-time high of around $222 set in early September.

    The run-up to Bitcoin’s new record high of $67,000 last week resulted in total crypto market capitalization passing the $2.5 trillion mark in the last seven days, a new milestone for the cryptocurrency.

    This aided Solana’s rise, with rival cryptos such as Ether (ETH) and Cardano (ADA) also rising by more than 10% and 1%, respectively.

    Solana TVL reaches a new high.

    According to data aggregator service DeFi Llama, the TVL of all decentralized finance (DeFi) projects built on Solana’s blockchain has reached a new record high of $13.53 billion.

    Saber, an automated market maker (AMM) protocol that enables Solana users and applications to trade between stable pairs of assets efficiently and earn yields by providing liquidity to the platform, was the most dominant DeFi project on the Solana blockchain.

    At the time of publication, it had contributed $2.05 billion to the Solana liquidity pool.

    Meanwhile, four other DeFi projects with a TVL of more than $1 billion are in the works. Raydium ($1.91 billion), Sunny ($1.73 billion), Serum ($1.69 billion), and Marinade Finance ($1.63 billion) are among them.

    Solana also stated that after the completion of its “Ignition” hackathon on Oct. 18, it will add more DeFi projects to its list. To use these applications, users would need to hold SOL tokens in order to pay transaction fees, raising the prospect of the token’s increased demand in the future.

    Technicals of the SOL price

    SOL’s most recent price increase was part of a breakout move from what appears to be a Bullish Pennant. As previously reported by Cointelegraph, the technical outlook is to send SOL to levels equal to the maximum distance between the Pennant’s upper and lower trendlines, which is around $85.

    As a result of adding $85 to the breakout level around $158, the Pennant target for the SOL price is $243, or nearly $250. Meanwhile, a retest of the upper trendline of the pennant as support would risk invalidating the bullish setup.

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