Solana [SOL] is holding above $50 after the Terra debacle, but this could happen next

ambcrypto.com:

It’s been a rough couple of weeks for the Solana [SOL] token that has been dealing with some new crypto assets as market cap neighbors after Terra [LUNA] and TerraUSD [UST] crashed down the rankings. However, at press time, the eighth biggest crypto token by market cap was worth $54.50, after rallying by 3.53% in the last day but dropping by 23.62% in the past week.

Amongst the top 10 coins, only Cardano [ADA] witnessed a similar daily rally. That being said, Solana slid down a long way from the rising star status it once held.

At press time, Solana’s total-value-locked [TVL] was around $4.36 billion after rising by 3.76% in the last 24 hours. However, this doesn’t change the fact that Solana’s TVL has fallen hard from highs of around $15 billion.

Source: DeFi Llama

If TVL losses weren’t bad enough, also keep in mind that Solana’s development activity has been on a steady downtrend since mid-December 2021. This shows that community members building the project and developing features are probably contributing less, or moving elsewhere. In short, it is not a sign of sustainable long term growth, even if the metric is still higher than what it was during Q1 – Q3 of 2021.

Source: Santiment

What about SOL’s price? From highs of above $240, the coin was worth below $60 at press time. But are the indicators bullish or bearish at the moment?

The Relative Volatility Index [RVI] showed that future volatility could take SOL’s price either up or down. Furthermore, if that wasn’t confusing enough, the Awesome Oscillator [AO] revealed a single green bar below the zero line at press time. Overall, an investor can be sure that the market is still far from stable.

Source: TradingView

A report by Messari Research really put Solana under the