- Solana rebounds above $170 after a sharp fall, challenging bearish crowd sentiment.
- SOL forms a bullish Cup & Handle pattern, signaling a possible rally toward $370.
- Solana’s DeFi TVL hits $6.46B, reinforcing bullish market momentum.
Solana (SOL) is staging a strong comeback after a significant drawdown, with its price surging above $170, its highest point in nearly three months. This price trend shows a disconnect between bearish crowd sentiment and market movements. Additionally, technical indicators suggest the price will continue to rise, positioning Solana for further gains.
Solana Outperforms Altcoins Despite Bearish Expectations
The fifth-largest altcoin continues to defy bearish crowd expectations, outperforming most other altcoins. After a sharp decline on October 23rd, SOL has rebounded, demonstrating how market sentiment can often be wrong. The recent price surge has led analysts to interpret the bearish sentiment as a positive indicator for SOL’s future.
While SOL’s price action is a clear example of the market defying popular opinion, technical experts have continued to portray a positive outlook, relying solely on technical patterns. Market experts suggested SOL’s price could continue its upward trajectory, potentially reaching as high as $370.
Technical Signals and DeFi Growth Support Solana’s Market Position
The other day, analysts pointed to the formation of a bullish cup & handle pattern, signaling the potential for a parabolic surge. Historically, this pattern has indicated strong upward movements, and SOL is no exception.
Adding to the momentum, Solana’s total value locked (TVL) on the DeFi front reached $6.46 billion on October 22nd, the highest since January 2022. This growth signifies renewed investor confidence in Solana’s ecosystem, with a steady rise in decentralized applications (dApps) contributing to its bullish outlook. The surge in TVL showcases the network’s growing utility and scalability, attracting more interest from both retail and institutional investors.
As Solana’s price continues to rebound, the mismatch between crowd sentiment and technical analysis offers an interesting opportunity for traders. Should SOL break key resistance levels, the path toward $370 becomes more probable, positioning it as a top performer in the crypto market.
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