Solana Meme Coins Explode, Time to Purchase SOL?
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Presently, 64.28% of the leading Solana traders have opted for long positions, whereas 35.72% have chosen short positions.
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In the past 24 hours, the Total Value Locked (TVL) on Solana has experienced a 3.75% increase.
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If it surpasses its previous day’s peak of $154, SOL could potentially rise by 10% and reach the $165 level.
On September 26, 2024, the crypto community took notice of Solana-based meme coins due to their impressive performance.
Solana Meme Coins Outshine Bitcoin and Ethereum
According to the data from CoinMarketCap, meme coins based on SOL, such as Dogwifhat (WIF), Bonk (BONK), Popcat (POPCAT), and Cat in a Dogs World (MEW), have witnessed a surge of 6%, 5.5%, 12%, and 15.5%, respectively, in the past 24 hours.
Interestingly, this significant price upswing occurred at a time when major cryptocurrencies like Bitcoin (BTC), Ethereum (ETH), Binance Coin (BNB), and others were struggling to gain momentum. It remains to be seen if Solana (SOL) will experience a similar rally.
SOL’s Current Price Momentum
At the moment, SOL is trading around $150, registering a price surge of more than 2% in the past 24 hours. During the same period, its trading volume increased by 9%, suggesting growing participation from traders and investors. While SOL’s rally has been decent, community expectations are rising, anticipating a strong performance like its associated meme coins.
Solana Technical Analysis and Upcoming Levels
Based on CoinPedia’s technical analysis, SOL exhibits a bullish trend as it trades above the 200 Exponential Moving Average (EMA) on a daily timeframe, indicating an upward trajectory. Furthermore, its recent consolidation breakout has shifted the market sentiment.
Considering its historical price momentum, if SOL surpasses its previous day’s high of $154, there is a high chance that it could rise by 10% and reach the $165 level or even higher if the sentiment remains bullish.
Rise of Solana TVL
However, according to Defillama, the Total Value Locked (TVL) on Solana has increased by 3.75% in the past 24 hours. This surge in TVL indicates that more assets are being staked into SOL-based DeFi platforms. It also suggests a growing demand for the blockchain and signals platform stability and growth potential, which could have a positive impact on the SOL price.
Bullish On-chain Metrics
Solana’s bullish outlook is further supported by on-chain metrics. Coinglass, an on-chain analytics firm, reveals that SOL’s Long/Short ratio currently stands at 1.8, indicating an extremely bullish market sentiment among traders in the past four hours.
Presently, 64.28% of the top traders have opted for long positions, while 35.72% have chosen short positions. Considering SOL’s bullish on-chain metrics, its blockchain demands, and positive price actions, it appears that the bulls are back and potentially dominating the asset.