Solana (SOL) has witnessed a phenomenal rise, marking a 35% increase in a single week, reaching a new year-high of $220. This milestone was achieved after closing the week at levels not seen in nearly three years. As SOL continues its upward trajectory, large investors, often referred to as “whales,” are increasingly accumulating the cryptocurrency, suggesting a potential rise to unprecedented levels in the near future.
Solana’s Ascendancy in the Crypto Market
Solana has emerged as one of the top-performing altcoins in this bullish market cycle. It recently surpassed Binance Coin (BNB) to become the fourth-largest cryptocurrency by market capitalization. This achievement came after SOL neared the $190 mark last Wednesday, setting the stage for its subsequent surge beyond the $200 threshold. This breakthrough propelled Solana’s market capitalization to an impressive $100 billion, solidifying its status as a leading player in the current cycle.
The breaking of the $200 barrier marked a significant departure from a prolonged 34-week accumulation phase, where SOL’s price ranged between $210 and $110. The cryptocurrency concluded the week with a remarkable 35.6% increase, closing at over $215, marking the fourth-highest weekly close in its recorded history. Additionally, this surge pushed Solana to a price level not seen since November 2021.
Historical Price Movements and Investor Sentiments
Analyzing Solana’s price movements reveals a staggering 291% increase over the past year. As of November 11, 2023, SOL was trading at $56. Even more striking is its 1350% increase from two years ago, when the token’s value plummeted to $10 in the wake of FTX’s collapse. This impressive performance has bolstered positive sentiment among investors and market analysts alike, with significant attention from large-scale investors who are gearing up for further price hikes.
Data from the on-chain analytics firm Lookonchain indicates substantial whale activity, with investors purchasing millions of dollars worth of SOL since October 22. Recent transactions include a whale acquiring an additional 7,500 SOL, valued at approximately $1.57 million, resulting in a total holding of 257,599 SOL, worth around $56.6 million at present.
The Road to New All-Time Highs
Following Solana’s recent surge, several cryptocurrency analysts have predicted that SOL is on the cusp of reaching a new all-time high (ATH). One market analyst, CryptoHornHair, has suggested that Solana is entering a phase of price discovery, akin to what Bitcoin (BTC) is currently experiencing. BTC recently led a significant market rally, achieving a remarkable 23% weekly increase and reaching a new ATH of $84,929.
According to CryptoHornHair, “there is no resistance to be found on SOL above $216 until new ATHs are achieved.” Another expert, Altcoin Sherpa, concurs, highlighting that Solana is approaching ATH territory and suggesting that the $260 target is within reach.
Similarly, the analyst Rekt Capital notes that Solana is “technically well-positioned” to replicate its historical price movements, potentially ascending to $260 in the foreseeable future. This prediction is based on SOL’s “momentous weekly close” and successful retesting of the previous $202 resistance level as newfound support, setting the stage for another rally towards ATH resistance levels.
As of the latest data, Solana is trading at $219.56, experiencing a 6% daily surge. This continuous upward trend reflects growing investor confidence and a robust market structure, indicating that Solana may continue to soar to new heights.
