Of all the altcoins currently available in the crypto market, SOL has been the hottest asset for over 3 months. With a return of over 764.12%, SOL prices rose slightly before consolidating for most of this month.
However, the last 72 hours have been a blessing and have pulled this altcoin out of its misery. Price made up for all the losses of the past 2 months in just 3 days.
Miracle is to SOL. came
On October 20th, SOL began to rise and in the days that followed it rose 29.78%.
This W-shaped rebound put the price above the main sustained resistance at $ 200. It also reached an all-time high. As a result, SOL’s market cap has grown from $ 46 billion to $ 62 billion.
The recovery of the SOL price | The source: TradingView
However, this is not an accidental increase, but mainly due to events that occurred between October 19 and October 20.
1. USDT and USDC deposit and withdrawal via Solana has been activated on the OKEx exchange
2. The Wormhole Cross-Chain Interaction Protocol supports Terra, which allows UST and LUNA to be transmitted over chains such as Ethereum and Binance Smart Chain
3. Solana’s recently launched staking protocol from Marinade Finance exceeded $ 1 billion in less than 2 months
Of course, just because of the uptrend, investors immediately jumped on the SOL bandwagon and that led to this rally.
Investors are very active
Trading volume hit a monthly high on October 21, reaching $ 3.4 billion in just one day. In addition, about 100,000 SOL were purchased in just 5 minutes last night. Additionally, over 6 million SOL ($ 1.2 billion) were bought and sold on October 21.
SOL buy / sell volume | The source: Coinlyze
Surprisingly, however, the leveraged market appears to be more bullish than the spot market. Trading volume exceeded $ 10 billion and over $ 16 million in long and short contracts were liquidated in just one day.
Liquidation amount | The source: Coinlyze
The upward trend continues today as short contracts valued at $ 4 million dominate the long contracts.
SOL derivative volume on exchanges | The source: Coinlyze
There seems to be no warning sign here for those waiting. At the time of writing, there are no signs of price decline as the volatility is very low. After all, the average user mood is currently very positive.
SOL volatility | The source: Messari
Now is the time for those looking to invest in SOL. However, the price needs to be watched as there is still a possibility of a correction towards the $ 200 mark. When the candle closes above it, you enter the market with confidence. On the contrary, traders need to be more careful in their decisions.
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According to AMBCrypto