- SOL was selling for $185.96 prior to its recent drop.
- The token’s open interest has increased. This suggests that it could trade at a higher price soon.
You can hold onto the if you want Solana [SOL]You may be thanking your lucky stars because you selected the crypto currency. The price of the coin has not increased almost 8x over the last 365 day. SOL is a token that has shown time and again why investors should never fade it, despite any challenges.
If you are wondering how, it is because of the 24 hour performance of the token. The broader market experienced a correction on March 14th as the price dropped off the upward trend. Not Solana.
Although the price dropped later, it reached a high of $185.96. It then fell below $175. SOL was still up 4.19% in the 24-hour period at time of press, despite recent price drops.
Frenzy in Solana land
Demand for Solana could explain the rise in price. AMBCrypto has explained the process of how tokens work in several detailed articles. memecoin mania Has been driving the price of tokens up.
SOL was also able to prevent a plunge in price due to a recent Binance statement. Binance has announced on the 15th March that its web3 wallet is integrated with Solana.
Binance is a wallet that allows active blockchain users to use different Solana Decentralized Applications (dApps).
Price action isn’t the only way to gather metrics. strength. DeFiLlama says that Solana’s Total Value Locked has increased.
The number of bullies continues to increase
As of press time the TVL stood at $3.77 billion. AMBCrypto offers a list of all the crypto currencies. findingsThe surge in usage could be due to an increase of activity with dApps such as Kamino, marginfi and Jupiter.
TVL’s increase suggests that capital has been locked up in protocols in greater amounts. The increase in TVL also indicates that participants on the market are enjoying higher profits from the ecosystem.
The TVL could reach $10 billion in this cycle if the value of assets continues to increase.
The price does not necessarily increase with the TVL. So, we decided to look at another measure. We focused on Open Interest this time.
Those who do not know, OI is based on the net position. If you notice an increase in OI it doesn’t mean there are more sellers than buyers. This indicates that buyers have become more aggressive.
When sellers are in the spotlight, OI will decrease. Solana has a higher open interest than the average. increased past $1 billion.
Click Here to Read Solana’s [SOL] Price Prediction 2024-2025
SOL could benefit from the rising Open Interest. If open contracts rise in value along with price then it is possible that the price will reach $200.
SOL’s upward momentum may slow if this is not the case.
“This article is not financial advice.”
“Always do your own research before making any type of investment.”
Source: ambcrypto.com