After the sharp market crash late last year, the crypto landscape has been on a steady path to recovery, with altcoins leading the way. Solana (SOL) is one of these many altcoins, and it has gotten the weekend off to a flying start.
According to CoinGecko data, SOL has gained 40% in the last 24 hours, generating excitement across the Solana ecosystem. Although it is still unknown how long the altcoin can sustain such momentum, these significant price gains indicate increasing positive sentiment from investors.
Interestingly, as a result of its price rally, Solana (SOL) even surpassed Polygon (MATIC) in market capitalization, becoming the 10th largest cryptocurrency. However, this was only for a short time, as the Ethereum-based token has since regained its footing.
At the time of writing, SOL is trading at a price of $23.75 with a 24-hour trading volume of $2,499,092,493 according to CoinGecko data. With that being said, the market capitalization of the token is set at $8,820,357,518, with a circulating supply of 370,622,211.
SOL trading at $22.42 | Source: SOLUSD chart on Tradingview.com
Solana has been in the news lately
Prior to today’s development, Solana has been one of the altcoins making headlines mainly due to its impressive price action. On December 30, 2022, Ethereum founder Vitalik Buterin tweeted a statement expressing support for Solana after the token’s value plunged as much as 20% late last year due to the FTX crisis.
In the next 24 hours after Buterin’s tweet, the price of SOL increased by 12%, from around $8.19 to $9.50. At the beginning of the second week of 2023, SOL was trading at a value of $17.1, which represents a price increase of around 80.63% in just over a week. Since then, SOL has been moving sideways until its price rises today.
Aside from Buterin’s tweet, another driving force behind Solana’s price actions was the massive price movements of the Solana-based meme coin BONK.
Earlier this year, BONK, a new meme coin launched on December 25, gained over 2,000% in the first week of the year, becoming the largest meme coin in the Solana ecosystem.
Although BONK soon crashed 50% following its tremendous bull run, there is still a lot of optimism surrounding the meme coin as many investors hope it can return to previous high price levels in the the upcoming weeks.
Price prediction for Solana in 2023
According to leading price prediction site Wallet Investor, the price of SOL could drop as low as $5,875 by 2024, indicating a plausible 73.836% decline from the current market price.
However, Coincodex predicts an overall bull market for Solana this year. The team expects SOL to trade at a value of $67.64 by 2024 if the altcoin follows the growth trajectory of the internet over the next 12 months.
Regardless of the price predictions, Solana has started the year strong and looks to be one of the most promising projects for 2023. That being said, investors are reminded not to rely on price predictions when making investment decisions; rather, they should do their due diligence while consulting financial market experts.
Featured Image: Solana.com, Chart from Tradingview.com
This post Solana gains 40% as the crypto market continues its recovery
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