Solana Price 18% Away from Major Flag Pattern Breakout

As a seasoned crypto investor with a decade of experience navigating the volatile digital asset markets, I find the recent Solana (SOL) price trends and fundamental developments particularly intriguing. The bullish momentum driven by whale accumulation and growing Total Value Locked (TVL) in Solana’s DeFi ecosystem is reminiscent of similar patterns that preceded significant gains in other projects during my time in this space.


Solana price dipped slightly by 1.02% to $159 during the relatively calm weekend. This minor pullback suggests a brief pause for buyers to regain strength after notable growth earlier in the week. Thus, the bulls may soon push for a stronger recovery, with the SOL/USDT daily chart forming a bull flag pattern.

Solana Price Bounced Amid TVL Spike and Whale Accumulation

As reported by lookonchain’s on-chain tracker, a significant investor (referred to as a ‘whale’) has recently bought about 28,717 SOL, worth around $4.56 million, from Binance and immediately staked all of these tokens. This substantial purchase suggests that the whale is optimistic about Solana’s future prospects.

A whale bought 28,717 $SOL($4.56M) from #Binance today and staked it.
— Lookonchain (@lookonchain) August 25, 2024

Furthermore, it’s worth mentioning that the Total Value Locked (TVL) in the Solana network experienced significant expansion during August. According to DefiLlama, this value surged from approximately $3.82 billion to $5.4 billion within a three-week span, representing a 42% increase. This surge in TVL suggests an increasing level of trust and involvement in the decentralized finance (DeFi) environment on Solana.

1. The surge in TVL (Total Value Locked) and increased whale involvement noticeably influenced Solana’s price. As a result, the coin price climbed up to $159, which has also led to a market capitalization of approximately $74.3 billion.

SOL Price Heading For a Flag Pattern Breakout

As a researcher, I’ve observed an impressive surge in Solana’s price over the past week. The value climbed from approximately $138.7 to $159, representing a 15% growth – quite a substantial leap! This bullish momentum can be attributed to the broader market recovery, with Bitcoin‘s price breaking through the $64000 barrier on Friday.

Additionally, the day’s price reversal in the ongoing recovery has strengthened the development of an optimistic follow-through pattern known as a flag. This pattern typically leads to a brief dip where buyers can recharge their strength, after which they will initiate the next surge forward.

The price recovery above the daily Exponential Moving Averages (20, 50, 100, and 200) hints at a positive shift in market trend. Thus, with sustained buying, the SOL price could rise 18% before a major breakout from flag resistance. 

If the move exceeds the upper trendline and turns out to be a profitable flip, it could encourage traders to push prices up by approximately 11.5%, potentially reaching $210, and then further upwards towards $240.

Solana Price 18% Away from Major Flag Pattern Breakout

If the selling momentum continues at the flag’s peak, I find myself bracing for another potential price reversal. This might nullify the optimistic breakout we were hoping for.

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2024-08-26 00:56