Originally published on: November 22, 2024
The Solana network is making waves as its native token, SOL, hit a new all-time high of $264.50 on Nov. 22. This surge in price came amidst Bitcoin’s rally towards $100,000 and a frenzy surrounding memecoins. Additionally, several Solana-based tokens have seen gains of over 100% in the past month, signaling a bullish trend for the network.
With over $6 billion in daily decentralized exchange (DEX) trading activity, Solana has secured a 45% share of the overall market. This surge is unprecedented compared to other networks, highlighting Solana’s low transaction fees relative to competitors like Ethereum, BNB Chain, and Polygon.
Market analysts believe that SOL price could see further gains, considering its current market cap of $121 billion is still 70% below that of Ethereum. Onchain and derivatives metrics also indicate potential for SOL to continue its upward trajectory. However, it’s essential to consider the broader competitive landscape before making any investment decisions.
Solana’s network boasts a total value locked (TVL) of $9.2 billion, giving it a significant advantage over other chains like BNB Chain. The network’s appeal lies in its user-friendly approach, with seamless integration of wallets like Phantom and Solflare with key decentralized applications (DApps), leading to a weekly trading volume of $41.1 billion on Solana’s DEXs.
In a surprising turn of events, all other top 10 blockchains saw a decline in DEX volumes, while Solana experienced significant growth. DappRadar reports show a massive 29.3 million unique active addresses interacting with Solana’s DApps in the last seven days, surpassing other chains like Near and BNB.
The Solana network’s onchain data, paired with the resilience of the SOL futures markets, suggests a strong bullish trend for the token’s price. Despite potential risks from leverage and market volatility, SOL’s future looks promising, with the potential for further price increases beyond the current all-time high.
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