Over the past week, the Solana price has reflected broader market trends, experiencing a slight decline of 1.3% in the last 24 hours. This decrease has led SOL to retest a crucial support level at $226. Despite this recent dip, experts believe that a successful breach of the $235 resistance could signal a continuation of the uptrend observed over the past six weeks.
Is The Solana Price About To Hit New All-Time Highs?
Market analysts report that Solana has shown resilience, rebounding towards the $230 mark after briefly hitting the $200 zone. If SOL can maintain momentum and surpass the $235 threshold, it may break the current price compression, potentially targeting a previous high of $264 in the near term.
The co-founders of the market intelligence platform Glassnode, Yan Happel and Jan Allemann, that Solana’s daily Relative Strength Index (RSI) remains neutral, indicating that there is room for upward movement without being overbought.
In this context, they also suggest that if SOL gains traction, investors should monitor other tokens such as Jupiter (JUP) and Dogwifhat (WIF) for potential upward momentum.
Despite trading at $226—13.5% below its all-time high of $263 achieved on November 23—The Solana price action is closely tied to broader market dynamics, particularly the anticipated regulatory framework under the incoming Trump administration.
Experts believe that Trump’s pro-crypto stance could enhance the likelihood of approving spot Solana exchange-traded funds (ETFs) that have been by various asset managers earlier this year.
Such approvals could pave the way for increased institutional adoption, a scenario that could significantly impact the Solana price and act as a catalyst on its path for new highs in the coming months.
Comparative trends in Bitcoin suggest that similar institutional actions could lead to substantial price gains; for example, Bitcoin reached a record peak above $73,000 just two months after its ETF approval in January of this year.
Solana Surpasses Ethereum As Top Ecosystem For New Developers
A recent by Electric Capital highlights Solana’s growth as the leading ecosystem for new developers in 2024. This marks a significant achievement, as it is the first time since 2016 that any ecosystem has surpassed Ethereum in attracting new developers.
In 2024 alone, Solana welcomed 7,625 new developers. However, Solana not only outpaced Ethereum but also emerged as the fastest-growing large ecosystem, with an impressive 83% year-over-year growth in monthly active developers.
The platform’s appeal has been particularly strong in Asia, with India leading as the top country for new developers, followed closely by the US, UK, Canada, and China.
Solana’s focus on low-fee use cases has also positioned the network as a leader in decentralized exchanges (DEX) and non-fungible token (NFT) transactions, accounting for 81% and 64% of respective transactions across all chains.
Featured image from DALL-E, chart from TradingView.com