TLDR
- Solana’s Total Value Locked (TVL) has reached an all-time high of nearly $13 billion.
- The surge in TVL has boosted Solana’s market capitalization, surpassing Binance Coin (BNB).
- Institutional capital from major players is fueling Solana’s recent price momentum.
- Whale activity, including significant SOL purchases and staking, is driving market growth.
- Analysts predict a potential 3x price surge as technical indicators show strong bullish momentum.
Solana has reached a major milestone as Total Value Locked (TVL) nears $13 billion, driving the cryptocurrency’s market capitalization higher. This surge has propelled Solana to overtake Binance Coin (BNB) as the fifth-largest cryptocurrency by market cap. The significant rise in TVL and market capitalization signals a potential beginning of what many are calling the “SOL season.”
TVL Reaches New Heights, Boosting Solana’s Ecosystem
Solana’s TVL recently hit an all-time high, climbing towards the $13 billion mark. This growth demonstrates a renewed interest in Solana’s decentralized finance (DeFi) applications, staking programs, and on-chain services. With protocols returning capital, liquidity has surged, increasing open interest and derivatives volumes across the ecosystem.
The rise in TVL reflects the confidence that both retail and institutional investors have in Solana’s future. Capital is flowing back into the network, boosting Solana’s momentum. This influx of funds has helped strengthen Solana’s standing within the cryptocurrency market.
Institutional capital is playing a critical role in this surge. Notably, major players such as Galaxy Digital, Jump Crypto, and Multicoin have led a $1.65 billion PIPE. This concentrated treasury strategy is expected to reduce the circulating supply, putting upward pressure on SOL’s price.
Market Cap Surpasses BNB, Solidifying SOL’s Position
Solana’s market capitalization has soared, pushing it ahead of Binance Coin (BNB) to become the fifth-largest cryptocurrency globally. This market growth is sparking conversations about the potential “SOL season,” with many speculating that Solana is entering a new phase of sustainable growth. The recent price rally shows that Solana’s ecosystem is increasingly gaining traction among institutional investors and whales alike.
Whale activity is also playing a significant role in this market shift. Galaxy Digital has purchased over 700,000 SOL, valued at approximately $160 million. Meanwhile, the USDC Treasury minted 250 million new USDC on the Solana network, signaling increased demand for the platform.
These developments indicate that large players are placing significant bets on Solana’s long-term success. A whale address recently staked over 268,000 SOL, locking liquidity and further reducing circulating supply. As institutional and whale activity continue to grow, the likelihood of a prolonged “SOL season” becomes more probable.
SOL Price Could Surge 3x with ETF Approval
Solana’s price is now targeting a critical resistance level of $238, which could lead to a retest of its all-time high. Analysts predict that the bullish momentum could result in a price surge of up to 3x if catalysts such as ETF approvals and treasury purchases continue to materialize. This has led to heightened optimism that Solana could see rapid growth in the near term.
Futures open interest for Solana has surged by 300% since August, reaching $8.17 billion. This reflects growing bullish positioning, with traders expecting more upward momentum. A liquidity cluster near $226 could trigger short liquidations, further boosting the price.
However, analysts caution that a pullback to $216 might occur as some investors take profits. Despite this potential setback, there is significant room for growth if demand remains strong. As one analyst noted, “As long as profitable holders don’t rush to cash out, the resistance to pushing SOL higher isn’t significant.”
