SOL Crypto Surges As BTC Breaks Above $28k

Solana (SOLUSD) price is surg­ing today as Bit­coin price is back above $28,000. Most alt­coins are show­ing pos­i­tive price action on Wednes­day as the mar­kets appear to have ful­ly digest­ed the CFTC’s law­suit against Binance and its founder. Con­se­quent­ly, SOL cryp­to is up 4% today after briefly dip­ping below $20 on Monday.

This week start­ed with a sell-off in the cryp­tocur­ren­cies as the Com­modi­ties and Futures Trad­ing Com­mis­sion CFTC sued the biggest cryp­to exchange Binance. The com­modi­ties watch­dog also charged the founder Cheng­peng Zhao also known as CZ, for alleged­ly trad­ing on his own plat­form direct­ly or indi­rect­ly with 300 dif­fer­ent accounts.

Solana TVL Is 75% Down From ATH

Accord­ing to the data ana­lyt­ics site DeFi Lla­ma, the total locked val­ue on the Solana blockchain is cur­rent­ly 93% down from its all-time high. This decrease in TVL can also be attrib­uted to an almost 92% decrease in Solana price dur­ing the same time. Data shows that the TVL, which stood at north of $10 bil­lion in Novem­ber 2022, has now reduced to only $272 million.

Nev­er­the­less, indus­try ana­lysts still remain opti­mistic about the future of Solana blockchain despite the col­lapse of its biggest backer FTX. Since the start of the year, the SOL cryp­to price has gained more than 111%.

Solana Price Attempts A Bullish Breakout

The SOLUSD chart reveals the for­ma­tion of the sym­met­ri­cal tri­an­gle pat­tern on a high­er time­frame. On its dai­ly chart, SOL appears to be cur­rent­ly retest­ing the down­ward trend­line of this pat­tern. A break­out from this pat­tern will make Solana price pre­dic­tion very bull­ish for the com­ing weeks.

How­ev­er, due to the pres­ence of a 200-day mov­ing aver­age at $22.17, a bull­ish break­out won’t be easy. Such a break­out can only occur if Bit­coin and Ethereum remain strong in the com­ing days. In case of a suc­cess­ful break­out, the first tar­get will be the Feb­ru­ary high of $27.12.