Solana Price On The Rise: Key Resistance At $235 Could Spark Major Breakout

by

As a seasoned crypto investor who has weathered numerous market cycles, I find myself intrigued by the recent performance of Solana (SOL). The past week has seen SOL tread familiar ground, with a slight dip and a retest of the crucial support level at $226. However, the resilience displayed by SOL in bouncing back towards the $230 mark after a brief stint in the $200 zone is encouraging.

In the last seven days, Solana’s price has followed broader market patterns, dropping by about 1.3% in the last day alone. This drop has caused Solana to test a significant support level at $226. However, despite this recent downturn, industry experts are optimistic that surpassing the resistance at $235 could indicate the continuation of the upward trend that has been visible for the past six weeks.

Is The Solana Price About To Hit New All-Time Highs?

According to market experts, Solana has demonstrated strength by bouncing back towards $230 after briefly dipping to the $200 level. If SOL continues its upward trend and manages to surpass the $235 barrier, it could break free from the current price cap, aiming for a potential new high of $264 in the short term.

According to the creators of the market analysis tool, Glassnode, Yan Happel and Jan Allemann, they observed that Solana’s RSI on a day-to-day basis has stayed in a neutral zone. This suggests that there is potential for further price increases as it is neither overly inflated nor oversold at this moment.

In the given situation, it’s advised that if Sharded Oracle Link (SOL) starts to become popular, it could be beneficial for investors to keep an eye on other tokens like Jupiter (JUP) and Doge-what (WIF), as they might show signs of positive growth.

Although currently priced at $226, which represents a 13.5% drop from its record high of $263 reached on November 23, the movements in Solana’s price seem closely connected to broader market fluctuations, especially the expected regulatory changes under the incoming Trump administration.

It is thought among experts that Trump’s supportive attitude towards cryptocurrencies might increase the chances of authorizing already-filed spot Solana exchange-traded funds (ETFs) by multiple asset managers this year.

Granting these approvals might foster greater institutional acceptance, a development which could substantially influence Solana’s price and potentially serve as a trigger for it to reach new record highs over the next few months.

Observing the historical trends of Bitcoin, it seems that institutional actions might significantly boost its value. For instance, within two months of the ETF approval in January this year, Bitcoin hit a new high over $73,000.

Solana Surpasses Ethereum As Top Ecosystem For New Developers

2024 saw Solana’s ecosystem emerge as a top choice for new developers, according to a recent Electric Capital report. Notably, this is the first time since 2016 that any ecosystem has outpaced Ethereum in terms of attracting developer interest. This milestone signifies a significant accomplishment in the blockchain space.

2024 saw a remarkable influx of 7,625 developers to Solana’s platform. What’s more, Solana surpassed Ethereum and established itself as the swiftest-expanding large ecosystem. This was underscored by an impressive yearly growth rate of 83% in monthly active developers.

The attraction of this platform is significantly high in Asia, with India taking the lead as the nation contributing the most new developers. The United States, the United Kingdom, Canada, and China are not far behind.

By prioritizing affordable transactions, Solana has emerged as a frontrunner in the realms of decentralized exchanges (DEX) and non-fungible tokens (NFT), handling approximately 81% and 64% of all DEX and NFT transactions across various networks respectively.

Read More

2024-12-13 11:46