Solana (SOL) Crosses $20 Barrier as Price Surges 5.12%

• At the time of writing, SOL is trading at $20.16, up 5.12% in the last 24 hours.
• If the price goes below the $19.68 support level, then it will likely test the $18.78 level.

Recent months have seen a surge in Total Value Locked (TVL) in the Solana ecosystem, despite a precipitous decline in DEX volumes. The declining DEX activity in Solana’s DeFi landscape has caused considerable concern, given the significance of these metrics to the general condition of a DeFi network.

Base, Coinbase’s layer-2 network, has had its TVL skyrocket since its launch in August, and at the time of writing, Base’s TVL is $353.64 million, which is more than Solana’s TVL ($320.04 million).

Strong Rebound

The price of SOL has shown remarkable fortitude and has bounced back quickly this month. More noteworthy perhaps is the fact that the increase occurred amidst speculation that FTX could sell off a large quantity of SOL tokens. The sudden increase in investor enthusiasm for SOL is a positive sign for the future of the token’s value.

In recent times, the SOL price has been reasonably stable. Also, even if the rest of the financial markets were volatile on Friday, Bitcoin price remained over the $27,000 barrier.

At the time of writing, SOL is trading at $20.16, up 5.12% in the last 24 hours as per data from CMC. Moreover, the trading volume is up 17.21%. The price recently managed to overcome the $20 psychological barrier. However, it has faced slight resistance at this point.

If the price manages to go past $20.40 resistance level, then it will likely head towards the $26.20 resistance area. However, if the price goes below the $19.68 support level, then it will likely test the $18.78 level.