Solana

Value

Arkham

April

<p>Solana’s Total Value Locked (TVL) hit a 22-month high of $6.5 billion in April, but traders remain cautious as price eyes a breakdown below the $120 level.</p> 
<p>On-chain data shows the <a href="https://www.thecoinrepublic.com/2025/04/04/solana-price-retests-12-month-support-despite-tvl-making-historic-high/">Solana</a> network outpacing rivals like BNB Chain and Tron in deposits and trading volumes. </p> 
<p>Despite this, Solana’s native token dropped 9% between March 28 and April 4. It traded at $119.83 at press time, just above a technical pivot.</p> 
<p>Analyst Ali Martinez warned of a key level approaching. He wrote,</p> 
<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow"> 
 <p>“$120 is a make-or-break zone for Solana…This level has defined major trend shifts in the past.”</p> 
</blockquote> 
<div class="wp-block-image"> 
 <figure class="aligncenter size-large">
  <img loading="lazy" decoding="async" width="1024" height="686" src="https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-265-1024x686.png" alt="" class="wp-image-1124657" srcset="https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-265-1024x686.png 1024w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-265-300x201.png 300w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-265-768x515.png 768w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-265-150x101.png 150w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-265-696x466.png 696w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-265-1068x716.png 1068w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-265.png 1200w" sizes="auto, (max-width: 1024px) 100vw, 1024px">
  <figcaption class="wp-element-caption">
   SOL/USD 1-D price chart. Source: Ali Martinez/X
  </figcaption>
 </figure>
</div> 
<p>SOL’s failure to reclaim higher support zones despite strong TVL metrics has raised questions about investor sentiment, particularly after a major staking unlock last week.</p> 
<h2 class="wp-block-heading" id="h-200m-token-unlock-pressures-solana-price"><strong>$200M Token Unlock Pressures Solana Price</strong> </h2> 
<p>Investor interest in SOL appears to have cooled after the April 4 unlock of 1.79 million tokens staked in 2021. </p> 
<p>At that time, SOL traded near $23. Those tokens are now worth over $200 million, creating visible selling pressure.</p> 
<div class="wp-block-image"> 
 <figure class="aligncenter size-large">
  <img loading="lazy" decoding="async" width="1024" height="355" src="https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-267-1024x355.png" alt="" class="wp-image-1124669" srcset="https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-267-1024x355.png 1024w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-267-300x104.png 300w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-267-768x266.png 768w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-267-150x52.png 150w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-267-696x241.png 696w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-267-1068x370.png 1068w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-267.png 1414w" sizes="auto, (max-width: 1024px) 100vw, 1024px">
  <figcaption class="wp-element-caption">
   <em>Solana tokens scheduled to be unlocked on April 4. Source: Arkham</em>
  </figcaption>
 </figure>
</div> 
<p>The timing coincides with a broader memecoin downturn, affecting activity on Solana. </p> 
<p>Weekly losses for popular Solana-based meme tokens such as WIF, PENGU, POPCAT, and BOME reached 20% or more. </p> 
<p>As speculation fades, on-chain growth has yet to translate into upward price movement for SOL.</p> 
<h2 class="wp-block-heading" id="h-solana-leads-in-dex-volumes-tvl-gains"><strong>Solana Leads in DEX Volumes, TVL Gains</strong></h2> 
<p>According to DefiLlama, deposits into Solana-based decentralized applications (DApps) rose to 53.8 million SOL on April 2, marking a 14% monthly increase. </p> 
<p>In dollar terms, the $6.5 billion figure puts it $780 million ahead of BNB Chain, securing Solana’s second-place ranking in TVL after Ethereum.</p> 
<div class="wp-block-image"> 
 <figure class="aligncenter size-large">
  <img loading="lazy" decoding="async" width="1024" height="332" src="https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-269-1024x332.png" alt="" class="wp-image-1124681" srcset="https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-269-1024x332.png 1024w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-269-300x97.png 300w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-269-768x249.png 768w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-269-150x49.png 150w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-269-696x226.png 696w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-269-1068x347.png 1068w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-269.png 1393w" sizes="auto, (max-width: 1024px) 100vw, 1024px">
  <figcaption class="wp-element-caption">
   <em>Solana Total Vale Locked (TVL), SOL. Source: DefiLlama</em>
  </figcaption>
 </figure>
</div> 
<p>Solana also commands 24% of monthly decentralized exchange (DEX) volumes, outperforming BNB Chain (12%) and Base (10%). </p> 
<p>Ethereum leads with 54%. The rise comes even as major Solana DEXs like Raydium recorded a 95% drop in volume from their January peak of $42.9 billion.</p> 
<p>Solana’s top DApps include Jupiter, a leading DEX aggregator, Jito, a liquid staking protocol, and Kamino, a lending and liquidity platform.</p> 
<h2 class="wp-block-heading" id="h-mev-criticism-shadows-onchain-progress"><strong>MEV Criticism Shadows Onchain Progress</strong></h2> 
<p>Solana’s scalability and Web3-focused infrastructure continue to attract user activity. However, not all feedback has been positive.</p> 
<figure class="wp-block-image size-large">
 <img loading="lazy" decoding="async" width="1024" height="313" src="https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-270-1024x313.png" alt="" class="wp-image-1124687" srcset="https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-270-1024x313.png 1024w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-270-300x92.png 300w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-270-768x235.png 768w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-270-150x46.png 150w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-270-696x213.png 696w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-270.png 1056w" sizes="auto, (max-width: 1024px) 100vw, 1024px">
 <figcaption class="wp-element-caption">
  Source: X/Cbb0fe
 </figcaption>
</figure> 
<p>Concerns around maximum extractable value (MEV)—where validators reorder transactions for profit—have resurfaced. </p> 
<p>DeFi liquidity provider @Cbb0fe accused Solana of gatekeeping, citing incentives that allegedly favor large validators.</p> 
<p>Loring Harkness of Shutter Network suggested encrypting transactions before they enter the mempool to prevent front-running. He said,</p> 
<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow"> 
 <p>“Encryption could eliminate validator control over transaction order.”</p> 
</blockquote> 
<p>Critics argue that MEV rewards offer enough validator incentives, questioning the need for inflationary staking emissions.</p> 
<h2 class="wp-block-heading" id="h-solana-price-still-trails-onchain-momentum"><strong>Solana Price Still Trails Onchain Momentum</strong></h2> 
<p>Despite robust network activity, <a href="https://www.thecoinrepublic.com/2025/03/31/analyst-reveals-solana-price-at-crossroads-as-key-support-at-117-face-test/">Solana price</a> remains well below its Feb. 14 peak near $210. The gap between TVL growth and price action has widened in recent weeks.</p> 
<div class="wp-block-image"> 
 <figure class="aligncenter size-full is-resized">
  <img loading="lazy" decoding="async" width="696" height="786" src="https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-272.png" alt="" class="wp-image-1124699" style="width: 100%;height:auto" srcset="https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-272.png 696w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-272-266x300.png 266w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-272-150x169.png 150w, https://www.thecoinrepublic.com/wp-content/uploads/2025/04/image-272-300x339.png 300w" sizes="auto, (max-width: 696px) 100vw, 696px">
  <figcaption class="wp-element-caption">
   Someone staked SOL until the year 5138. Source: Arkham/X
  </figcaption>
 </figure>
</div> 
<p>According to Arkham Intelligence, one user staked $0.05 worth of SOL for the next 3,000 years. The funds unlock in 5138. </p> 
<p>The act, while symbolic, contrasts sharply with current market uncertainty and short-term selling behavior.</p> 
<p>Solana price has so far failed to convince the broader market that its metrics warrant a return to previous highs. The $120 level may prove decisive in the coming days.</p> 
<p>If that floor breaks, the bearish pressure could intensify. If it holds, traders may start to price in Solana’s sustained onchain strength.</p> 
<p>Solana continues to post strong network metrics. DEX volume and TVL growth confirm its resilience in a cooling market. </p> 
<p>But SOL’s struggle to hold $120 suggests that price may not immediately reflect the network’s performance.</p> 
<p>With large unlocks, fading memecoin demand, and converging validator debates, Solana price enters a period of heightened scrutiny. </p> 
<p>Traders and developers alike will now watch whether fundamentals are enough to stabilize the token—or if deeper corrections lie ahead.</p> 
<p>The post <a href="https://www.thecoinrepublic.com/2025/04/06/solana-holds-6-5b-tvl-but-sol-price-risks-breakdown-below-120/">Solana Holds $6.5B TVL But SOL Price Risks Breakdown Below $120</a> appeared first on <a href="https://www.thecoinrepublic.com">The Coin Republic</a>.</p>

Solana Holds $6.5B TVL But SOL Price Risks Breakdown Below $120

Table of Contents

Thecoinrepublic.com

Other articles published on Apr 6, 2025

XRP News: 70% of Binance Traders are Betting on XRP’s Price to Go Long!

XRP Aims for $7, But It’s Not the Best 2025 Buy: Here Are 2 Altcoins Deserving Your Attention Ove...

Analysts Predict XRP Price Surge—But Here’s The Catch

Watch Out: We Are Entering a Very Critical and Volatile Week – The New Week Has Lots of Economic ...

The Forbidden Airdrop List: What Crypto Exchanges Don't Want You to Know (Zloadr Airdrop Wallet E...

Trump Tariffs Day 4: S&P 500 Closes Worst Week Since COVID, Tech Giants Bleed

Join our free newsletter for daily crypto updates!