The solana price caught fire this week, rocketing up over 14% in the last 24 hours. The rally comes as upbeat chart signals combine with swelling fundamentals, a $200m airdrop and endorsement from crypto influencers. Together, these catalysts are setting the stage for SOL to continue surging.
Keypoints
- Solana price has surged over 14% in last 24 hours, now trading above $71
- Chart shows similar ascending triangle pattern to Bitcoin’s prior to recent rally, suggesting further SOL gains
- Upcoming airdrop season attracting investor interest and capital into Solana ecosystem
- Key metrics like DEX volume, stablecoin market cap, and DeFi TVL on Solana rising significantly
- Bullish endorsements from Arthur Hayes and VanEck predicting $100+ Solana price in short term
Much of the enthusiasm stems from SOL’s technical chart mimicking the pattern exhibited by bitcoin right before its recent breakout. Solana shows an ascending triangle with resistance around $68 and a rising trendline from mid-November lows. This formation classically suggests bullish momentum building up that could result in an upside breakout.
When bitcoin showed a similar setup last week with resistance at $38k, it busted out to over $44k. With SOL now shattering its own overhead barrier, analysts believe it could follow along BTC’s trajectory with its next target at $100.
Adding fuel, investors are taking positions ahead of a flurry of airdrops about to hit the Solana ecosystem. Projects granting free token disbursements historically boost layer-1 activity and prices as people buy the underlying crypto. The hype will only compound with new drops from Kamino Finance, TIA, and more lined up.
Evidence also clearly shows traction growing across Solana’s still-nascent network and DeFi landscape. One analyst highlighted metrics like cross-chain ETH transfers to SOL via Wormhole topping $48M in a month. Meanwhile DeFi Pulse data reveals Solana’s total value locked in DeFi exploded 117% in November, dwarfing Ethereum’s TVL growth rate.
Also fueling the recent fervor, a high-profile new token called JTO launched via airdrop on the Solana blockchain Thursday morning. The governance token for Jito, a staking protocol, made a dramatic entrance as recipients claimed over $200 million worth of the asset. JTO price quickly shot up 75% displaying the pent-up demand before stabilizing around a still-lofty $540 million market cap.
The lucrative JTO drop excitement compounded the airdrop effect already impacting Solana. It underscored the mania attracting interest back into the ecosystem. And it reinforced the power of projects utilizing token giveaways to spread awareness and create buzz. With the JTO launch exacerbating the buzz over the parade of airdrops marching through, it contributed tangible evidence to the narrative bolstering overall momentum lifting Solana’s price.
Finally, endorsements from prominent crypto influencers helps confirm the prevailing tailwinds. BitMEX founder Arthur Hayes keeps beating the drum for SOL to hit $100 soon. And investment giant VanEck published a glowing 2024 outlook tagging Solana as a top-3 project and predicting its ascent as Ethereum loses ground.
Who is ready for a weekend alt szn green doji piss up? Can we send $SOL over $100? Let’s do it fam ????????????????????????
— Arthur Hayes (@CryptoHayes) December 5, 2023
With catalysts coming from all sides to support renewed interest in Solana, the revived momentum catapulting its SOL token over 14% seems likely to continue as analysts call for the cryptocurrency to reach $100 next. The stars appear aligned for Solana to close out 2023 on a high note as investors position for an even brighter year ahead.
