Solana price has seen a significant increase this week, rising from $134 to $151 amidst a surge in SOL meme coin prices. This rally coincides with a 23% increase in the market cap of SOL meme coins, reaching $8.7 billion in the last 24 hours. The increase in meme coin prices follows a class-action lawsuit filed against Solana-based DEX Meteora for allegedly orchestrating a $69M pump and dump scheme.
The price of Solana tends to rally when meme coins created on the blockchain are performing well, which is the case currently. Many of the top meme coins on Solana have seen double-digit gains, with popular ones like BONK and dogwifhat (WIF) surging by over 20%. The recent lawsuit against Meteora DEX, accusing them of misleading information about a SOL-based meme token called M3M3, has fueled interest in Solana meme coins and contributed to the price recovery in the crypto market.
The meme coin frenzy on Solana has not only boosted prices but also increased network activity. SOL’s Total Value Locked (TVL) has increased by over $500 million in the last two days, nearing a two-month high. Additionally, DeX volumes have reached $2.94 billion, the highest since early March. The spike in trading activity of meme coins is driving these rising volumes, indicating that as demand for SOL-based meme coins continues to grow, the price of Solana is likely to continue its upward trend.
Solana price analysis shows a double bottom pattern on the daily price chart, breaking past resistance levels and suggesting a continuation of the current uptrend. Once SOL surpasses the resistance level of $147 and turns it into support, the first target price is $180, implying a 20% rally from the current price. The MACD line crossing above the zero line confirms the bullish outlook for Solana price, with the potential for further gains towards record highs.
In summary, Solana price is supported by various bullish catalysts, including the lawsuit against Meteora DEX, the surge in meme coin activity, network growth, and a positive technical outlook. With these factors in play, SOL could reach the resistance level of $180 before continuing its rally. Investors should monitor these catalysts closely to gauge the potential for future price movements in Solana and its meme coins.
