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Solana price holds near $220 as ecosystem posts new highs
Solana (SOL) has steadied around the $220 area despite recent market pressure, while the network's Total Value Locked (TVL) surged to a fresh all-time high. Traders and investors are weighing on-chain metrics alongside technical indicators as the market awaits an influential regulatory decision affecting potential Solana ETF approvals.
SOL is trading near $220, reflecting a modest pullback from recent intraday highs. On-chain and market indicators show a balance between buyers and sellers: the Relative Strength Index (RSI) sits near 51.66, signaling neutral momentum, while the MACD suggests bullish momentum is present but showing signs of losing strength as the histogram contracts. Falling volume and a potential MACD crossover are warning flags that could precede a deeper retracement.
SOL currently shows a quoted price of $218.02, down roughly 3.8% from the prior day. Key technical levels to watch are immediate support around $200 and resistance targets in the $230 to $240 band if buyers regain control. Maintaining the $220 floor would be essential for any near-term bullish continuation.
SOL price chart
On-chain strength: TVL hits $42.4 billion
Despite price consolidation, Solana's protocol-level metrics point to strong adoption. Token Terminal data shows Solana's Total Value Locked has climbed to $42.4 billion, driven in large part by stablecoin activity on the chain. Circle's aggressive minting of USDC on Solana has been a major contributor, and on-chain flows indicate roughly half of all USDC transfers are occurring on Solana. That concentration of stablecoin liquidity supports DeFi primitives, DEX volume, and payment rails built on the network.
Why TVL matters for SOL
Higher TVL demonstrates broader utility and developer traction for the Solana ecosystem. When liquidity and user activity expand, it can support fee generation, protocol revenue, and long-term network value. Still, TVL gains do not always translate instantly into token price appreciation, especially in risk-off market environments or when speculative demand softens.
Regulatory calendar and ETF implications
Investors are closely watching an upcoming US SEC decision regarding multiple Solana ETF filings. Issuers awaiting a ruling include Grayscale, VanEck, Fidelity, 21Shares, and Franklin Templeton. A favorable regulatory outcome could act as a catalyst for SOL, attracting institutional inflows and strengthening on-chain activity. Conversely, regulatory setbacks or delays could pressure sentiment and weigh on price action.
In summary, Solana's price resilience around $220 is encouraging, but traders should monitor RSI, MACD, and volume for clarity on momentum. On-chain fundamentals remain robust, highlighted by record TVL and dominant USDC activity, which underpin long-term adoption even as short-term volatility persists.
Source: crypto
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