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  • Solana price violates the $60 resistance level.
  • Players in the blockchain space prefer Solana over other blockchain platforms.
  • SOL must close the day above the May high to validate the bullish trajectory.

Solana price has jumped over 42% in price over the last 24 hours. This rally has caused SOL rise above the $60 mark to record a new all-time high (ATH) around $65. Solana is currently ranked #10 on CoinGecko with a market capitalisation of $17,963,471,134 which has also jumped by 44% over the same period.

The SOL demand witnessed since Sunday august 15 was triggered by the news that news that players in the blockchain space preferred Solana over other blockchain platforms.

Increased Adoption of the Solana Blockchain

The Solana blockchain is becoming a preferred destination for some Decentralised Finance (DeFi) apps. This points to a growing adoption of the Solana platform. This increasing adoption is attributed to the Wormhole utility, a bridge within the Solana ecosystem that facilitates the communication between several blockchain platforms such as Terra, Ethereum, Binance Smart Chain and others.

Colin Wu, A Chinese crypto-journalist stated that the Solana public chain has also set a new record high in transactional volumes of $1,854,341,405.74. Wu tweeted:

Wu Solana Tweet

According to Solana developers, the network is a faster and simpler way of making sure that crypto assets such as NFTs, price data, tokens and governance decisions are easily transferred. Its is expected that Wormhole, the cross-chain messaging platform, will also facilitate the transfer of cross-chain liquidity along with Solana’s Serum ecosystem.

Solana has backing from the wider market. For example, last week Margo markets, a Decentralised exchange on the Solana blockchain raised $70 million in token sales.  Earlier in June, Solana labs, the firm behind the Solana blockchain raise roughly $315 billion. Moreover, industry leaders like the FTX Exchange’s CEO Sam Bankman-Fried strongly back Solana.

This creates positive prospects for SOL that will bolster it to new highs.

Solana Price Trades Above $60

Solana price prediction is bullish as it trades at $61.43 on crypto exchanges, with the 24-hour trading volume hovering above $2.26 billion. Solana price has rallied 182% from the July 20 low at $21.8.

SOL/USD Daily Chart

Solana Price Daily Chart

Note that Solana must close the day above the May 18 high around $61.5 to maintain the bullish bias. A daily closure above this level may trigger more buy orders as bulls seek to set new record highs.

Realise that the Moving Average Convergence Divergence MACD) indicator has a clear bullish outlook highlighted by the indicator’s upward movement above the mean line. Moreover, the sharp rise of the Relative Strength Index (RSI) in the overbought region adds credence to this bullish outlook.

On the flipside, the RSI shows that Solana is extremely overbought, indicating that a correction might occur in the near-term. If this happens, SOL might retreat towards the $43.5 support wall and the 100-day and 50-day SMA before another recovery ensues.

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