Solana ($SOL ) is struggling above $130, and it is down 36% in a month. This cryptocurrency is caught in a tight trading range, which reflects its market uncertainty.
SOL is testing key support at $120.76, with a risk of sliding further to $112 if bearish pressure continues. It is emphasizing a selling pressure in the market.
Solana's TVL Fails To Recover Above $7B
DeFiLlama data shows Solana's total value locked (TVL) is at $6.72 billion. This has remained below $10 billion since February 23, indicating a cautious sentiment among investors.
There have been limited capital inflows into Solana’s DeFi. However, TVL for SOL peaked on January 18, at $14.24 billion, and to date has been steadily declining.
Whale Accumulation Shows Mixed Signals
On-chain data shows an increase in the number of Solana whales, holding 10,000 SOL at least. The count has increased from 5,008 to 5,031 in 2 days. However, this number is still below compared to the recent peak of 5,053. Whale accumulation can have a major impact on market trends, and this may attract some major investors.
SOL Price Outlook
A breakout above $131 could push SOL towards $152.90, with a potential rally to $179.85 if momentum strengthens. On the other hand, a failure to hold $120.76 support could lead to a decline towards $112, reinforcing bearish sentiment.
