Solana (SOL), a top-tier layer one (L1) blockchain focused on democratizing scalable smart contracts, has registered palpable gains in the past few months. The large-cap altcoin, with a fully diluted valuation of about $109 billion, is preparing to rally exponentially in an anticipated parabolic move toward a new all-time high (ATH).
According to the latest crypto market data, SOL price is only 26 percent away from its ATH, as it traded around $190 on Wednesday during the mid-London session.
Why Solana Will Win Web3 War
The Solana network has grown to a major web3 hub with about $4.8 billion in total value locked (TVL) and nearly $3 billion in stablecoins market cap. Despite the Ethereum (ETH) network remaining the undisputed web3 leader, the Solana network has recorded heightened on-chain activity emanating from its DeFi protocols.
According to market data from Defillama, the Solana network had an average trading volume of about $1.2 billion on its web3 ecosystem.
The tangible rise in Solana on-chain activity has been attributed to the ongoing meme coin frenzy led by dogwifhat (WIF), Bonk (BONK), and cat in a dogs world (MEW) that has raised over $45 million in SOL liquidity.
SOL Price Action and Midterm Expectations
After closing March on a positive note, Solana bulls are undeniably well incentivized to continue in a bullish outlook in the coming weeks. On the weekly and daily time frames, the SOL price against the US dollar has formed an ascending triangle, which could easily result in a bullish breakout.
A solid breakout above the resistance level around $205 will yield a rally towards the liquidity range between $218 and $230, which coincides with the 0.5 and 0.618 daily Fibonacci Extension.
