Here’s How Solana Price Could Cross $300 in January 2025

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As a researcher observing the cryptocurrency market, I note that Bitcoin (BTC) is currently hovering around $101,000, showing relative stability with a 24-hour volatility of 1.8%. Its market capitalization stands at an impressive $2.00 trillion, and over the past 24 hours, it has traded a volume of approximately $50.62 billion.

On the other hand, Solana (SOL) is battling to maintain its bullish momentum. Although there was a significant 10.55% increase in the last week, the intraday pullback in the SOL price trend suggests a possible deeper correction might be on the horizon, with its current value at $213.5 and a 24-hour volatility of 1.4%. Its market cap is currently $103.22 billion, and over the past 24 hours, it has traded a volume of around $3.99 billion.

Solana Price Analysis

On a day-to-day basis, the Solana price trend indicates a strengthening rebound. However, it has failed to surpass the local resistance trendline, causing the price to drop to around $213.84.

For the past five days, we have seen bearish candles in succession, dropping below the 50% Fibonacci level at $213.89. Additionally, this price movement falls beneath the trendline that serves as local support and dips below the 20 EMA line.

With escalating selling pressure, it’s becoming more likely that the SOL price will revisit the 50 EMA line at approximately $208.89. But before any intraday dip, the bullish momentum in Solana was evident, leading to a potential breakthrough of the long-standing resistance trendline. This bullish trend has had several positive implications for SOL.

The combination led to a striking convergence and substantially boosted the likelihood of a harmonious intersection between the 100-day and 200-day moving averages. However, although the moving averages continue to indicate a positive trend, the relative strength index suggests an impending downturn.

The RSI line for a 4-hour period has moved down from the overbought region, now sitting at midpoint, indicating a significant change in the direction of the momentum.

Solana DeFi TVL Hits 3-year High amid New Record Highs

At a peak point over a 24-hour period when the price was around $223, Solana achieved its highest total value locked in the past three years. For the first time since 2021, the decentralized finance (DeFi) total value locked on Solana reached an impressive $9.52 billion.

🚨 JUST IN: Solana’s DeFi TVL hits a 3-year high, surpassing $9.52B for the first time since 2021.

— SolanaFloor (@SolanaFloor) January 7, 2025

Additionally, this positive development was also marked by Solana outperforming Ethereum in terms of 24-hour decentralized exchange (DEX) trading volume along with its Layer 2 solutions combined. In the same period, Solana recorded a 24-hour trading volume of $3.982 billion, compared to Ethereum’s $1.706 billion. Here are the key statistics for Ethereum:

* ETH price: $3,634
* 24h volatility: 0.0%
* Market cap: $437.82 billion
* 24h trading volume: $20.97 billion

🚨 JUST IN: Solana surpasses Ethereum and all its Layer 2s combined in 24H DEX trading volume.

— SolanaFloor (@SolanaFloor) January 7, 2025

The surge in Solana’s trading volume indicates that it is being adopted at a grassroots level, with this growth exceeding that of Ethereum by more than double.

AI Meme Trend to Boost SOL Price

In the surge of artificial intelligence (AI) agents in the cryptocurrency market, Solana Network is shrewdly taking advantage of this wave. Soon, Alchemist AI and SWARMS will be listed on Binance, making them part of a growing collection of AI-themed meme coins on the Solana Network.

LISTINGS UPDATE: @binance set to launch perpetual contracts for two @solana-based AI memecoins:

– $ALCH (@alchemistAIapp)– $SWARMS (@swarms_corp)

— SolanaFloor (@SolanaFloor) January 7, 2025

The network has multiple rising coins like PudgyPenguins, ai16z, Bonk, and many more.

Conclusion

Even though Solana is experiencing a temporary setback at the moment, it consistently showcases robust long-term prospects. This resilience stems from notable achievements in Decentralized Finance (DeFi) adoption and an increase in network activity. In fact, Solana’s DeFi Total Value Locked (TVL) has reached a three-year peak, even surpassing Ethereum in terms of DEX trading volume. As a result, Solana is solidifying its status as a pioneer in the realm of blockchain innovation.

While the short-term surge in supply pressure puts Solana back under $215, a potential bounce back from the 50 EMA line is likely to reinstate the bullish forces in power. Based on the Fibonacci levels, the upside potential for SOL price extends to $293 and $336 based on the 1.272 and 1.618 levels. Hence, if the Solana network sustains its positive rally, the uptrend could break past the $300 milestone in January 2025.

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2025-01-07 16:21