Based

United

Solana

DeFi

when

The SOL/ETH currency pair traded within a tight range as liquidity woes challenge global markets, including crypto. With investors anticipating a series of interest rate cuts in the United States starting in September, Solana price may surge ahead of other cryptocurrencies, potentially reaching $200.
<h2 class="p1" id="sol-eth-price-market-movers-rising-defi-tvl-and-and-whale-buying-spree">SOL/ETH Price Market Movers: Rising DeFi TVL and And Whale Buying Spree</h2>
Solana price collected liquidity at $140 this week, paving the way for a reversal to $145 as the protocol’s <a href="https://coingape.com/glossary/defi-decentralized-finance/" target="_blank" rel="noopener noreferrer nofollow">decentralized finance</a> (DeFi) ecosystem made a comeback in the total value locked (TVL).&nbsp;According to <a rel="noopener noreferrer nofollow" href="https://defillama.com/chain/Solana">DeFi Llama</a>, the value locked in smart in the protocol’s smart contracts has surged to $4.98 billion from the early August crash to $3.8 billion. An increase in this metric is often viewed as a bullish signal for reducing the potential selling pressure. Investors show confidence in the asset, committing their holdings to secure the protocol and earn rewards.
<figure id="attachment_213831" aria-describedby="caption-attachment-213831" style="width: 100%" class="wp-caption aligncenter"><img decoding="async" class="size-full wp-image-213831" src="https://coingape.com/wp-content/uploads/2024/08/Screenshot-2024-08-23-at-16.41.52.png" alt="Solana TVL | DeFi Llama" width="1478" height="850" srcset="https://coingape.com/wp-content/uploads/2024/08/Screenshot-2024-08-23-at-16.41.52.png 1478w, https://coingape.com/wp-content/uploads/2024/08/Screenshot-2024-08-23-at-16.41.52-300x173.png 300w, https://coingape.com/wp-content/uploads/2024/08/Screenshot-2024-08-23-at-16.41.52-1224x704.png 1224w, https://coingape.com/wp-content/uploads/2024/08/Screenshot-2024-08-23-at-16.41.52-768x442.png 768w, https://coingape.com/wp-content/uploads/2024/08/Screenshot-2024-08-23-at-16.41.52-150x86.png 150w" sizes="(max-width: 1478px) 100vw, 1478px">
 <figcaption id="caption-attachment-213831" class="wp-caption-text">
 Solana TVL | DeFi Llama
 </figcaption>
</figure>
On the other hand,&nbsp;<a href="https://coingape.com/price/ethereum/" target="_blank" rel="noopener noreferrer nofollow">ETH price</a> quickly swung towards $2,700, but due to shrinking liquidity and a slow uptake of Ether ETFs, a correction occurred to $2,664.&nbsp;This sluggish movement in ETH price may soon be over if whales keep up their risk appetite for ETH. Based on <a rel="noopener noreferrer nofollow" href="https://app.santiment.net/charts/ddn4vPBS__sCl">Santiment</a>, holders of between 1,000 and 10,000 ETH account for 35.13% of the total supply, up from 34.77% on August 1. Those addresses with between 10 million and 100 million ETH focused on the recent crash, increasing their holdings to 10% from 9.67% in the same period.
<figure id="attachment_213833" aria-describedby="caption-attachment-213833" style="width: 100%" class="wp-caption aligncenter"><img decoding="async" class="size-full wp-image-213833" src="https://coingape.com/wp-content/uploads/2024/08/Ethereum-ETH-18.47.23-23-Aug-2024.png" alt="Ethereum supply distribution" width="3840" height="1300" srcset="https://coingape.com/wp-content/uploads/2024/08/Ethereum-ETH-18.47.23-23-Aug-2024.png 3840w, https://coingape.com/wp-content/uploads/2024/08/Ethereum-ETH-18.47.23-23-Aug-2024-300x102.png 300w, https://coingape.com/wp-content/uploads/2024/08/Ethereum-ETH-18.47.23-23-Aug-2024-1224x414.png 1224w, https://coingape.com/wp-content/uploads/2024/08/Ethereum-ETH-18.47.23-23-Aug-2024-768x260.png 768w, https://coingape.com/wp-content/uploads/2024/08/Ethereum-ETH-18.47.23-23-Aug-2024-1536x520.png 1536w, https://coingape.com/wp-content/uploads/2024/08/Ethereum-ETH-18.47.23-23-Aug-2024-2048x693.png 2048w, https://coingape.com/wp-content/uploads/2024/08/Ethereum-ETH-18.47.23-23-Aug-2024-150x51.png 150w" sizes="(max-width: 3840px) 100vw, 3840px">
 <figcaption id="caption-attachment-213833" class="wp-caption-text">
 Ethereum supply distribution
 </figcaption>
</figure>
<h2 class="p1" id="solana-price-analysis-ready-for-a-move-up">Solana Price Analysis: Ready For A Move-Up</h2>
The SOL/USD currency pair sits above crucial support provided by the 200-day Exponential Moving Average (EMA) and the lower end of the Bollinger bands. A rebound toward the indicators mid boundary is anticipated, which has a higher probability of boosting Solana price toward $160.
Meanwhile, a Bollinger Band Squeeze occurs when the upper and lower bands converge, indicating a period of low volatility. This can be likened to the current lack of liquidity. A breakout from either band after a squeeze often signals a significant price movement. Hence, with support at the 200-day EMA holding, traders can profit by entering long positions in SOL/ETH pair and anticipating a huge breakout to 0.062.
<figure style="width: 100%" class="wp-caption alignnone"><img decoding="async" class="size-full" src="https://www.tradingview.com/x/cVVMbIR6/" alt="SOL/ETH price chart | Tradingview " width="2694" height="1436">
 <figcaption class="wp-caption-text">
 SOL/ETH price chart | Tradingview
 </figcaption>
</figure>
Per the <a href="https://coingape.com/price-predictions/solana-sol-price-prediction/" rel="noopener noreferrer nofollow">SOL price prediction</a>, the outlook is bullish in the short term, but it would be safer to <a href="https://coingape.com/markets/solana-price-analysis-sol-struggles-under-150-whats-next/" rel="noopener noreferrer nofollow">manage expectations</a>. A break below the 200-day EMA on the SOL/ETH pair could trigger another sell-off, with altcoins bearing the brunt. Key levels o each on the downside are 0.05 for the pair, $130 and $120 for Solana and based on <a href="https://coingape.com/price-predictions/ethereum-eth-price-prediction/" rel="noopener noreferrer nofollow">ETH price forecast,</a> traders keenly watch the levels at $2,500, $2,200.
The post <a href="https://coingape.com/markets/sol-eth-price-analysis-can-solana-price-post-a-2021-like-bull-run/" rel="noopener noreferrer nofollow">SOL/ETH Price Analysis: Can Solana Price Post a 2021-Like Bull Run? </a> appeared first on <a href="https://coingape.com" rel="noopener noreferrer nofollow">CoinGape</a>.

SOL/ETH Price Analysis: Can Solana Price Post a 2021-Like Bull Run?

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