$SOL $ETH
$BTC Crypto SOL recently experienced a 22% increase in value to reach US$54, surpassing a crucial level since May 2022. This happened even though FTX continued to sell SOL coins in its bankruptcy process. Even though the FTX estate sold 55.75 million SOL, investor sentiment remained positive.
FTX's liquidation plan, with a weekly sales cap of US$100 million, may ease concerns about a flood of SOL coins on the market. Analyst Bluntz expressed optimism on SOL, noting bullish potential once selling pressure subsides.
SOL's performance was not only limited to price increases, but also to a significant increase in futures open interest reaching US$745 million. However, it is important to note that the futures market is balanced with both longs and shorts leveraged.
The Solana ecosystem is growing in deposits and usage of dApps, as seen in the increase in total value locked (TVL) and active address growth, which beats Ethereum in terms of active DeFi usage. While this growth is positive, there are questions about sustainability.
Although Solana and Polygon's TVLs are similar, SOL's market capitalization of US$22.8 billion far surpasses Polygon's at US$7.8 billion. Questions about SOL's valuation and the impact of FTX's bankruptcy still concern investors.
