Solana's DeFi TVL Surges 100% in Three Years, Despite Meme Coin Decline

Davinci Jeremie, an early Bitcoin investor, has shifted his focus to Solana, predicting a potential 20x surge in its price. This optimistic outlook comes as the Solana blockchain experiences significant growth, with the DeFi Total Value Locked (TVL) nearing a three-year high. Jeremie is renowned for his accurate prediction of a Bitcoin price rally during its early years, when he advised traders to buy Bitcoin at $1, highlighting its potential for substantial growth.

Jeremie's prediction for Solana is based on the potential for meme coin activity to drive the altcoin's price rally. He suggests that the involvement of prominent figures, such as former US President Donald Trump, could catalyze this surge. Jeremie believes that if corporations or famous individuals follow Trump's lead in profiting from meme coins, Solana's price could exceed $1,000, marking a more than 20x increase.

Despite this bullish forecast, current meme coin activity on the Solana blockchain has declined significantly. Efforts by PumpFun to boost usage have not been successful, with the total market cap for SOL-based meme coins dropping to $6 billion. This decrease in meme coin activity could potentially hinder Solana's price rally, as Jeremie's prediction relies heavily on this factor.

Another factor that could trigger a Solana price rally is the surge in DeFi activity. Data shows that the SOL DeFi Total Value Locked (TVL) has risen to $56 million, the highest level in nearly three years. This increase in TVL indicates a high amount of SOL tokens locked on the Solana blockchain, supporting a bullish outlook and potentially driving a significant price rally for the altcoin.

Technical analysis of Solana's price shows mixed sentiment. While the four-hour Solana price chart indicates strong bearish momentum, the AO bars suggest a potential trend reversal. If the histogram bars flip positive, it could support a bullish thesis for Solana's price. However, the current bearish trends and strong selling activity, as indicated by the RSI, may hamper SOL's ability to rally.

In summary, while early Bitcoin investor Davinci Jeremie predicts a 20x rally for Solana due to potential meme coin activity, the current bearish trends and decline in meme coin activity on the Solana blockchain may pose challenges to this optimistic outlook. The surge in DeFi activity and the high TVL on the Solana blockchain provide some support for a bullish outlook, but the technical analysis suggests that a price rally may not be imminent.