- Whale wallets now control 60% of Solana, indicating high institutional confidence and potential bullish market signals.
- Solana’s robust position in DeFi, with $6 billion TVL, ranks it third globally, enhancing its market stature.
Solana is currently showing signs of a potential uptick, with significant whale activity and robust technical support suggesting a bullish trend may be on the horizon.
Recent data points to a high concentration of holdings among large-scale investors, coupled with a stable foundation in the decentralized finance (DeFi) sector.
Whale Investors and Market Confidence
Analysis of Solana’s on-chain data reveals that whale wallets—those holding over $5 million worth of Solana tokens—now account for 60% of the total supply. This level of concentrated ownership often indicates strong institutional or investor confidence, potentially acting as a bullish signal for the cryptocurrency’s value.
This substantial whale involvement underscores the interest of major players in maintaining or increasing their stakes in Solana amidst the prevailing market conditions.
DeFi and Total Value Locked (TVL)
Solana maintains a good presence in the DeFi arena, with its total value locked (TVL) standing firm at $6 billion. This robust engagement positions Solana as the third-largest blockchain in terms of TVL, just behind Ethereum and TRON, capturing 6.89% of the total market share across multiple chains. This not only highlights its pivotal role in the DeFi ecosystem but also supports the potential for further growth and expansion within this sector.
Technical Analysis and Market Movements
From a technical perspective by ETHNews, Solana’s price action indicates resilience, with the cryptocurrency approaching a critical support level at approximately $160. Despite a recent drop of 11.7% over three days, the pattern of higher lows on longer timeframes suggests an accumulation phase, hinting at a possible upward reversal.
This technical setup is bolstered by historical data, which shows similar patterns of whale accumulation followed by substantial price increases.
The convergence of significant whale activity and strong technical indicators provides a cautiously optimistic outlook for Solana. The next steps for the cryptocurrency will heavily depend on its ability to maintain the crucial support level.
Should it hold or witness increased buying pressure, Solana could potentially see a bullish reversal, aligning with the broader market sentiment. However, traders and investors should remain vigilant, as a break below this support could lead to further declines, challenging the current positive forecasts.
Solana (SOL) is currently trading at $163.16, showing a daily gain of 0.69%. Over the past month, it has risen by 19.29%, reflecting strong upward momentum. The support level is identified around $160, while resistance is at $180 and could extend to $200 if the bullish trend continues.
The 24-hour trading volume is approximately $3.11 billion, which indicates active market interest. Technical indicators, including moving averages, suggest a bullish continuation, though caution is advised as resistance levels near $180-$200 may lead to temporary pullbacks.
The post Whales Are Betting Big on Solana—Here’s Why You Should Too! appeared first on ETHNews.
