February was great for Solana [SOL], as it turned most profitable during that month. In fact, the blockchain’s revenue surged above the $2 million mark.
Therefore, AMBCryptio planned to take a closer look at Solana’s performance and check whether the same trend will continue in March.
Solana’s network activity is up
Solana Daily, a popular X handle that talks about developments around SOL, recently posted a tweet mentioning that the blockchain’s revenue skyrocketed in the last few days.
To check what’s actually going on around SOL, AMBCrypto took a look at Artemis’ data. We found that despite the rise in revenue, the blockchain’s fees actually dropped over the last 30 days.
Network activity was high in March as well because its daily active addresses remained high. However, it was surprising to see that, despite the spike in daily active addresses, Solana’s daily transactions dropped in the last few weeks.
How is SOL behaving?
While the blockchain’s network activity went in an interesting direction, the token’s price action turned bullish, thanks to the market condition.
According to CoinMarketCap, SOL was up by more than 18% in the last seven days. In the last 24 hours alone, the token’s value surged by over 2%.
At the time of writing, SOL was trading at $131.38 with a market capitalization of over 458.1 billion, making it the fifth largest crypto. The recent price uptick also made Solana quite popular in the crypto space, which was evident from the rise in its social volume.
On top of that, SOL’s weighted sentiment also spiked in the last few days, meaning that bullish sentiment around the token surged.
To see whether positive market sentiment will allow SOL to continue its bull rally, AMBCrypto then took a look at Solana’s daily chart.
We found that its MACD displayed a bullish crossover, hinting at a further price uptrend. However, the rest of the indicators looked bearish on the token.
For instance, the Chaikin Money Flow (CMF) registered a downtick. Its Relative Strength Index (RSI) also followed a similar trend.
The two indicators suggest that investors might soon witness a price correction. If that turns out to be true, SOL’s value might plummet to its support level near the $81 mark.
Source : AMBCrypto by Dipayan Mitra / Mar 5, 2024