Solana price went parabolic and surged to a record high on Saturday amid the ongoing ecosystem growth. The SOL token surged to $270, up by more than 3,000% from its lowest point in 2023.
Its market cap has jumped to over $123 billion, making it bigger than firms like Deere, ADP, Fiserv, Micron, Lockheed Martin, and AppLovin. This article explores why Solana price will get to $535 over time.
Solana ecosystem growth continues
The SOL price surged amid the ongoing ecosystem growth. The latest entrants to the ecosystem was Official Trump (TRUMP), the official meme coin launched by Donald Trump.
Launched two days before the inauguration, the token surged by over 400%, giving it a market cap of almost $6 billion. This token growth has added billions of dollars to Donald Trump’s net worth, which Bloomberg estimates to be $7.1 billion.
Trump’s meme coin growth has fueled more success in Solana’s ecosystem. That explains why Solana tokens like Jupiter, Raydium, and Orca were among the best performers in the crypto industry on Saturday. Jupiter soared by 27.7%, while Raydium jumped by 16%.
Solana’s DEX volume has done well in the past few days and is the best performer. According to DeFi Llama, Solana’s DEX volume soared by 21% to $36.3 billion in the last seven days. It rose to $12.8 billion in the last 24 hours, with Raydium, Orca, and Lifinity having the biggest share.
Raydium’s weekly volume rose by 14% to $20 billion, while Orca and Lifinity’s volume rose to $8.3 billion and $5 billion.
This growth has made Solana’s network’s revenue to continue growing. According to DeFi Llama, Solana’s 24-hour fee rose to over $4.67 million, while its revenue jumped to over $2.34 million. This makes it one of the most profitable networks after the likes of Tether, Jito, PancakeSwap, and Raydium.
More catalysts for the SOL token
Solana’s token has numerous catalysts that will push it higher in the next few months. The first one is the fact that its ecosystem is seeing the most growth among layer-2 networks. It is doing much better than the likes of Avalanche, Binance Coin, Tron, and Aptos.
Second, there are rising odds that the Securities and Exchange Commission (SEC) will approve a spot Solana ETF under Paul Atkins. Atkins is expected to be a more crypto-friendly regulator than Gary Gensler.
The SEC has initially signaled that it would reject a Solana ETF because it believes that it is a security. This could change under the next administration. JP Morgan analysts believe that a Solana ETF may attract over $6 billion in inflows in 2025. In contrast, spot Ethereum ETFs have attracted $2.66 billion in assets so far.
Solana price may continue rising as the FTX Estate distributes about $16 billion to creditors. Some of these funds will flow to top cryptocurrencies like Solana and Bitcoin.
Solana price forecast
The weekly chart shows that the SOL price has done well in the past few years. It has moved above all moving averages, a sign that bulls have regained momentum.
Solana also formed a cup-and-handle chart pattern, with the upper side at $270. A C&H is one of the most popular continuation signs in the market.
The depth of this cup is about 98%. Therefore, if we measure this distance from $270, we see that Solana will be at $535. This target, however, will take time to materialize since the C&H takes several years to form.
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