Solana (SOL) climbed 5.5% on Friday, reaching a daily peak above $241. This price action, which marks a new high since late January, follows a surge in both institutional capital and decentralized finance (DeFi) activity within the ecosystem.
According to CoinMarketCap, Solana traded at $240.54 at press time, with a 24-hour trading volume of $12.09 billion. The token was up 5.75% in the last 24 hours.
The rally gained traction earlier this week after Forward Industries announced a $1.65 billion PIPE deal led by Galaxy Digital, Jump Crypto, and Multicoin Capital. This news led to a sharp move in SOL’s price above $215, with momentum accelerating further after the deal closed.
Additionally, among them is BIT Mining which revealed the addition of 17,221 SOL to its treasury while preparing to change its NYSE ticker to SOLAI.
Technical Signals Point to Further Gains
On the technical side, analyst More Crypto Online highlighted a bullish setup for Solana on X, stating, “$SOL has formed a bullish cross on the monthly MACD. This aligns well with the bullish projection.”
According to the chart, SOL is currently trading robustly at around $241.42. The key resistance levels are now set at $374.24, $566.26, and $856.81, as indicated by Fibonacci retracement targets. These points could serve as potential selling zones if the rally is sustained.
Additionally, Solana’s DeFi ecosystem has hit a new all-time high. The total value locked (TVL) reached $13.01 billion, as reported by DeFiLlama.
According to the data, the new figure comes after a recovery from 2023 lows and surpasses previous peaks from 2022. With a rise in TVL, usually an increase in user activity and liquidity.
Market confidence continues to build
The rising DeFi activity and institutional investment have contributed to a significant increase in market confidence. Traders on Myriad, a prediction market, have become increasingly bullish. Over the past week, those betting that Solana will hit $250 before dropping to $130 rose from 66% to 89%. The spike in sentiment shows trust in SOL’s upward trajectory.
Rising DeFi activity and institutional investment play a big part in Solana’s recent boom. If buying momentum continues, SOL could test Higher resistance levels.
Also Read: Galaxy Digital Buys $536 Millions in Solana From Binance, Bybit
