Solana (SOL) price is in a downtrend once again as the crypto markets experience a sell-off. The weak BTC price action has turned the markets red. SOL crypto is currently trading 21% below its yearly high, and our analysis reveals that the bears are clawing back.
On Thursday, most cryptocurrencies showed a negative price action as the BTC price failed to hold the $28,000 level. Yesterday’s pump appears to have completely faded, and it is now trading at $27,400. Solana price had slid by 1.36% till the start of its London session.
Solana TVL Remains Low
According to the Decentralized Finance data aggregator, DeFi Llama, there is currently $264 million TVL on Solana. Despite a TVL increase of 30% since the start of 2023, Solana is way behind its major competitors. In terms of total locked value (TVL), SOL crypto is the 11th biggest blockchain.
Marinade Finance is currently the biggest dapp on the network with $101 million TVL. Liquid staking protocol, Lido comes in second place with $57 million. Despite a massive recovery in SOL price since the start of the year, the total locked value is yet to show a similar trend.
Solana Price Retests Major Support
The following SOL crypto chart reveals that the price is currently retesting one of the most critical supports on the daily timeframe. This is the $19.80 support level which has resulted in multiple bounces since the start of the year. The 200-day moving average is also present around this level which makes it even more significant.
A breakdown below this level will make Solana price prediction very bearish. In such an event, the first target for the bears will be the yearly lows that lie around $16. Currently, the price is rebounding after retesting the 200 MA and $19.8 support.
I’ll keep sharing my updated SOL price analysis in my free Telegram group, which you are welcome to join.
