Solana’s Liquid Staking Gains Momentum: What This Means for SOL Price
Solana has risen by 0.5% in the past 24 hours, with the SOL price reaching $148 as the wider crypto market falls by 0.5% today.
SOL has now gained by 8% in a week, and while the fifth-biggest coin in the market is still down 10% in a month, it holds onto an impressive 665% increase in a year.
These moves come as data shows that liquid staking on Solana is steadily ramping up, with the total ratio of liquid staked coins to normally staked tokens rising to 6.85% today.
This increase is bullish for Solana insofar as investors can trade with liquid staked tokens, making for a busier DeFi sector that could help push the SOL price higher over time.
After a period of declines and stagnation, SOL’s chart gives the impression that the coin is in the middle of a growth phase.
Its relative strength index (purple) has risen from 30 a couple of days ago to just over 50 today, as buying pressure increases.
Even more bullish is the 30-day moving average (orange), which is rising further above the 200-day (blue), another sign that SOL has recently begun an expansionary period.
What’s also encouraging is that the token’s trading volume is sitting at $1.8 billion today, up from $1.2 billion on June 30.
This signals growing demand for SOL, after a period where whales have been likelier to dump the token.
Helping the coin’s fortunes is the steady growth in liquid staking mentioned above, which in the longer term will help feed Solana’s DeFi sector and, by extension, the SOL price.
1/ The Key Catalyst: @sanctumso
The airdrop from @jito_labs has brought the spotlight to liquid staking on Solana. The liquid staking ratio has increased by 2% from Q4 2023 – Q1 2024
Sanctum is able to take the torch. The launch of INF, Sanctum Router, and Sanctum Reserve,
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