Solana (SOL) has experienced remarkable growth in recent months, with its real economic value skyrocketing 319% quarter-over-quarter (QoQ), reaching an impressive $819 million. This surge, driven by higher network activity and validator profitability, highlights the increasing strength of Solana’s ecosystem. But how does this economic growth influence Solana’s Total Value Locked (TVL) and SOL price trends?
Understanding Solana’s Real Economic Value
Real economic value, a metric that tracks revenue generated from network fees and Maximum Extractable Value (MEV) by validators, reflects the financial health of a blockchain network. According to Messari’s latest data, Solana’s real economic value has seen substantial growth, peaking in Q4 2024. As the network activity surged, so did its economic value, closely aligning with the project’s market capitalization. This increase was driven by a rise in DeFi usage, NFT activity, and the growing popularity of Solana-based memecoins, which now boast a combined market cap of over $12.5 billion.
Solana's real economic value (fees + MEV) grew 319% QoQ to $819M pic.twitter.com/X8uKYBl40J
— Messari (@MessariCrypto) February 5, 2025
Solana’s TVL Growth Signals Stronger Network Confidence
Along with a surge in economic value, Solana’s Total Value Locked (TVL) has also gained momentum, crossing the $12 billion mark in December 2024. This is a level last seen before the broader market downturn in 2022. Data from DeFiLlama shows that since mid-2024, capital inflow has intensified, with users and liquidity providers returning to Solana’s DeFi ecosystem due to lower fees and faster transaction speeds. As Solana’s validator rewards increase, more capital is expected to flow into the network, ensuring its long-term sustainability.
What’s Next for SOL Price Trends?
The price of SOL has mirrored the network’s growth, currently trading at $202.07. However, key resistance and support levels are in play. The 50-day Moving Average (MA) at $211.17 acts as a significant resistance zone, while the 200-day MA at $182.57 provides strong support. If SOL breaks through the $211 resistance, it could rally toward the $225-$250 range, supported by continued investor interest.
Solana’s 319% QoQ growth in real economic value, coupled with the rise in TVL, positions the network for continued success in the DeFi space. While SOL’s price faces key technical challenges, the ongoing network expansion and rising economic value suggest a promising outlook. Investors should monitor network activity and liquidity trends closely to gauge future price movements.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
Also Read: Solana (SOL) Faces Potential 10% Drop, While Sui (SUI) Shows Bullish Breakout Potential
About The Author
