Solana price increased today due to the moderate recovery in the broader cryptocurrency market. The recovery in SOL price follows Bitcoin‘s halving event and the easing of geopolitical tensions in the Middle East. Data from TradingView reveals that SOL price has risen about 4% in the last 24 hours and 32.6% from the local low of around $120 a week ago to $159.
What’s Happening on the Solana Front?
Solana has performed well in recent months; it has increased by more than 88% in the last six months and by more than 56% since the beginning of the year. With a market value of $70.6 billion, Solana stands out as the fifth largest cryptocurrency by market value. The Solana network continues to be a force to be reckoned with in the Layer-1 space. Data from the blockchain data analytics platform Artemis shows that Solana’s main Layer-1 and Layer-2 networks account for more than 30% of daily transactions.
Solana’s high transaction activity is performing better in terms of transaction fees compared to other top Layer-1 protocols. Analysts at The Block Pro commented:
“Solana has emerged as the leading platform in on-chain financial activities and total transaction fees have approximately doubled. During this process, Solana has surpassed BNB Chain and Tron.”
Another data used to measure the performance of a blockchain network is the total value locked (TVL) in its smart contracts. Data from the blockchain data analytics platform DefiLlama shows that Solana’s TVL increased from $3.36 billion on April 18 to $4.02 billion on April 23, indicating a 19% increase in the last seven days.
Solana Chart Analysis
Solana price rise on April 23 is part of the ongoing recovery trend that began after the cryptocurrency found support in the $130 demand area on April 17. This upward trajectory saw SOL price regain a significant support level provided by the 50-day exponential moving average.
While the movement is not yet definitive, a daily candle close above this level could indicate the bulls’ ability to sustain the recovery. Particularly, the MACD’s cross on April 23 is seen as a buy signal, suggesting that the asset may be undervalued and ready for recovery.
If this is the case, the SOL/USD pair is expected to see a 28% recovery towards the neckline of the “V” shaped recovery chart pattern around $202 in the next few days. Conversely, staying below the 50-day EMA could increase the risk of a correction towards the 100-day EMA support at $139 or the bottom of the management chart model at $125.
