Originally published on: November 25, 2024
Solana’s native token SOL has been on a remarkable journey, surging by 61.5% from November 5 to November 22, breaking new all-time highs at $263. This spike coincided with the overall surge in altcoins, which saw a 58% rise as Bitcoin came close to hitting $100,000.
The recent bullish momentum can be attributed to a variety of factors including the election victory of President-elect Donald Trump in the 2024 US Presidential election and the resurgence of meme coins on the Solana network. This surge has led to several Solana onchain indicators reaching record levels, with the latest milestone being the skyrocketing decentralized exchange (DEX) volumes.
Solana’s Layer-1 blockchain has seen its DEX volume hit record highs on various timeframes, with monthly trade volumes crossing over $100 billion on November 25th. This represents a significant increase compared to other chains, with Solana’s monthly DEX volume nearly doubling that of Ethereum’s mainnet.
The recent surge in DEX volumes has been fueled by various factors including the launch of platforms like Pump.fun and Raydium DEX, as well as the network’s low transaction fees and user-friendly interface. These factors have contributed to the meme coin frenzy within the Solana ecosystem, driving up both SOL’s price and DEX trading volumes.
Analysts believe that SOL’s recent price gains and soaring DEX volumes are a result of the network’s dominance in the market, with the largest share of DEX volume. This has positioned SOL as a strong contender in the crypto space, with significant upside potential.
From a technical standpoint, SOL’s price is showing signs of strength after breaking above a rounded bottom chart pattern on the weekly chart. The bulls are now aiming to push the price towards the technical target of $300, representing a 19% increase from the current price.
While the relative strength index (RSI) suggests slightly overbought conditions, the positive market conditions favor further upside potential for SOL. However, investors are advised to conduct their own research before making any investment decisions.
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