Solana Tops Leading Blockchains in TVL Growth as SOL Eyes $70 Breakout

The Solana network has recently seen an influx in capital, topping the charts for leading blockchains in terms of DeFi TVL growth.

The Solana ecosystem has been one of the biggest winners of the resurging crypto market. The network’s promise of lower fees and faster transactions has attracted investors, with many already seeing Solana as Ethereum’s biggest competitor.

The sentiment around Solana has largely turned positive since the FTX fallout, with the network attracting significant investor capital. Data from on-chain provider DeFiLlama puts the growth into further context, with Solana topping all other chains in terms of values locked across DeFi protocols on the network.

The Solana network has seen its TVL grow by 56% in the past month. This growth means that there are over $650 million worth of assets locked in Solana-based DeFi apps.

For further context, the closest network in terms of growth was Avalanche, which saw its TVL grow by 22%. Ethereum and Arbitrum jumped by 16% and 18%, respectively, with Tron losing 0.56% of its value within the same timeline.

It is noteworthy that Solana’s TVL is significantly less than that of the leading blockchain network, Ethereum, which stands at nearly $28 billion.

Time will tell whether Solana could significantly bridge the gap, with TVL on a new-age layer-1 network still way below the $10 billion value it attained during the 2021 bull market.

Solana (SOL) Eyes $70

The growth of Solana’s DeFi ecosystem has largely led to a corresponding increase in the network’s native SOL token. One of the biggest performers in the top ten, SOL has gained over 500% since the start of the year.

SOL now ranks as the sixth largest crypto asset, with a market cap of $25.6 billion. However, its current trading price of $60.4 is below its recent yearly high set at $67.63. A recovery above its year highs would open the way to a breakout above $70 and more gains for SOL holders.

Market experts predict that an ongoing airdrop season involving leading protocols on the network, such as Pyth and Jupiter, would provide a catalyst for further SOL growth. However, the crypto space remains highly unpredictable, even though indications of an impending bull run continue to loom large.