- Solana (SOL) has seen major gains recently, with prices approaching 2-year highs around $137. This significantly outpaces Bitcoin and Ethereum’s gains.
- The price surge is attributed to Bitcoin’s rally, renewed faith in Solana after distancing from FTX, and strength in meme coins built on Solana like Bonk and Dogwifhat
- Additional factors fueling Solana’s rise are the upcoming Bitcoin halving and investors looking past previous issues to see new potential in the ecosystem.
Solana has seen tremendous gains recently and is approaching prices not seen since early 2022. While Bitcoin has also risen, Solana has outpaced the gains of both Bitcoin and Ethereum over the past week. The renewed interest likely stems from Bitcoin’s resurgence, but also renewed faith in the Solana ecosystem.
Recent Solana Price Action
SOL is up 16% over the past 24 hours to over $131. Earlier on Thursday it reached $134, its highest level since April 2022. A further rise to around $137 would mark a more than two-year high for the cryptocurrency. By comparison, Bitcoin is down slightly in the last day but up 21% over the past week. Ethereum is flat today but up 16% weekly.
Wider Market Context
Bitcoin’s price has been surging lately, coming within striking distance of its all-time high price above $69,000 from November 2021. The gains are attributed partially to the launch of Bitcoin spot ETFs in the U.S. this year. The ETFs allow exposure to Bitcoin prices without direct ownership. As Bitcoin rises, major altcoins like Solana tend to follow.
Beyond Bitcoin, meme coins on Solana like Bonk and Dogwifhat have seen triple-digit percentage gains in recent days thanks to the broader boom. Bonk is up over 100% in a week, while Dogwifhat has jumped 156% and hit an all-time high.
Bullish Solana Factors
In addition to riding Bitcoin’s coattails, Solana may be rebounding after a brutal 2022 thanks to renewed faith in the ecosystem after FTX’s fall. Solana had previously been closely tied to FTX and Alameda Research. Other technical factors like the upcoming Bitcoin halving may also be buoying Solana lately.
Conclusion
A confluence of Bitcoin’s gains, strength in the meme coin sector, and rekindled interest in Solana have sent its price soaring to nearly 2-year highs. Further optimism could see SOL eclipse that milestone and continue climbing upwards. Solana’s resurgence shows that investors are looking past previous issues and seeing new potential.
