Solana Market Cap Exceeds $100 Billion, SOL Token Sees 32.6% Weekly Gain
Solana (SOL) recently surpassed a market cap of $100 billion, positioning itself for a potential all-time high (ATH) rally.
Solana Reclaims $100 Billion Market Cap, Is SOL ATH Imminent?
Solana is currently the fourth-largest cryptocurrency by market cap, joining Bitcoin (BTC), Ethereum (ETH), and Tether (USDT) above the $100 billion mark.
SOL is trading at $216.43, reflecting weekly gains of 32.6%. In comparison, Bitcoin has increased by 19.6% and Ethereum by 29.7% in the same timeframe.
SOL’s previous ATH was $259.96 in November 2021 during the crypto bull market. The price significantly declined to $8.68 in November 2022 amid the FTX crisis, resulting in nearly a 40x recovery from those lows.
Analysts suggest further upward movement for SOL might lead to a new ATH. Julien Bittel from Global Macro Investor indicated that the SOL/BTC trading pair has broken out of an 8-month consolidation, potentially entering what he calls the “banana zone” in Q4 2024, where explosive price increases may occur.
This breakout could form an inverse head-and-shoulders pattern on the daily chart or a cup-and-handle pattern on the weekly chart, both suggesting bullish trends for SOL.
Crypto trader Bob Loukas expressed on X that SOL might reach a new ATH “within 14 days,” indicating the possibility of significant gains in 2025.
Overall Sentiment Bullish On SOL
As BTC approaches new ATHs above $80,000, the broader crypto market seems to follow its momentum.
SOL has attracted attention from analysts due to its potential to surpass Ethereum's market cap and become the leading smart contract platform. Additionally, Solana’s decentralized finance (DeFi) ecosystem saw its total-value-locked (TVL) rise to $5.7 billion in Q3 2024, marking a 26% quarter-over-quarter growth.
Some analysts caution that SOL might face a sharp correction before any further price increases. At the time of writing, BTC trades at $82,251, having increased by 3.5% in the last 24 hours.
