Solana Approaches Key Support Level as Price Drops Over 5%

• At the time of writing, SOL is trading at $147.04, down 5.06% in the last 24 hours.
• If the price breaks below $143 level, then it will likely test $129 support level.

Six Solana-based protocols now have more than $1 billion in TVL, which is a first since Solana started. For the layer-1 blockchain network, DefiLlama data shows that five protocols—Jito, Kamino, Jupiter, Raydium, Marinade, and Sanctum—exceeded $1 billion.

As retail adoption increased, crypto community users praised SOL chain features like Blinks and Actions. Some contend that the majority of SOL’s on-chain operations are driven by memecoin frenzy and quick transactions.

Since September 6, the price of Solana has been steadily rising, outperforming both Bitcoin and Ethereum. When comparing Solana, Bitcoin, and Ethereum in Q3 2024, Ethereum had the weakest performance. Bitcoin’s price increased by 1.55%, while the price of SOL rose by 6%. In contrast to the others, Ethereum’s price dropped a staggering 23% in the third quarter.

Bears in Control

With each market recovery, SOL has been among the top-performing high-market-cap tokens, and the $110 support level has shown to be quite resilient throughout market downturns. Meme coins in the Solana ecosystem have also been among the most resilient throughout recoveries.

At the time of writing, SOL is trading at $147.04, down 5.06% in the last 24 hours as per data from CMC. Moreover, the trading volume is up 33.24%. The price was unable to break above the $161 level and faced correction ever since. The price decline is in tandem with the overall crypto market downtrend.

If the price manages to go above $153 level, then it will likely retest $161 resistance level. Breaking above this level, will likely see price climbing towards $178 mark. However, if the price continues the bearish momentum and breaks below $143 level, then it will likely test $129 support level.