As the broader crypto market rebounds following the election of Donald Trump on November 5, Solana (SOL), currently the sixth largest token by market capitalization, is back on track bullish, recently regaining the $230 price level.
On Wednesday, Solana's price rose nearly 7%, reaching $232 after a two-week correction period following its all-time high of $263 on November 23.
Could Solana's price go up to $4,000?
The recent price action suggests that Solana may be on track to not only reconfirm its previous high but may significantly exceed it. .
Crypto analyst Ali Martinez identified a bullish “cup and handle” pattern forming on Solana's one-month chart, pointing out the potential for incredible growth.
Martinez predicts that if this pattern pans out, Solana could see gains in excess of 1,650%, leading to a price in excess of $4,000 per token.
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However, opinions among analysts vary regarding Solana's future path. While some, like Cryptorangutan, pressure the current momentum indicators and fixed buying pressure, predicting an increase towards the $ 300 mark, others urge caution.
MoreCryptoonl Analyst on the other hand, identify completed pullback structure, showing a clear five-wave downtrend. This analysis shows that although the recovery rally is underway, it is still uncertain whether it will develop into a bullish pattern or a corrective ABC structure.
Total value locked hits $9.198 billion
Despite the mixed technical indicators, key financial metrics paint a very positive picture for Solana. according to to CoinMarketCap, the market capitalization is around $112.73 billion, positioning Solana as the sixth largest cryptocurrency.
Additionally, its Total Locked Value (TVL) has reached $9.198 billion, indicating continued interest in the decentralized finance (DeFi) ecosystem. However, decentralized exchange (DEX) volumes have fallen 25% to $28 billion, indicating some volatility in trading activity.
The narrative around Solana is further fueled by recent developments in the market. Grayscale to file for space the Solana ETF in the US has created a buzz, as the cryptocurrency community expects more institutional investment.
In addition, the Jupiter project has revised its $1.6 billion airfield after a failed vote, while the Pump.fun platform reported a record income of $93 million for November, despite a weekly drop of 66%.
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In the DeFi landscape, Solana has slipped to third place while TVL Tron rose 78% to $13 billion, but still maintains a strong lead with 5.56 million active addresses.
However, the recent decline in DEX revenue and volumeespecially with Raydium suffering an 8.22% drop, indicating the need for stability in trading activity within the ecosystem.
Featured image from DALL-E, chart from TradingView.com
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