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- 1 Solana (SOL) price has regained the coveted $100 zone, reaching a daily high of $104 on Saturday, Dec 23.
- 2 SOL market capitalization has now surpassed Ripple (XRP) and Binance Coin (BNB) to become 4th most valuable crypto asset.
Solana is making headlines these days. On Sunday, Dec. 24, Solana achieved a significant new milestone by overtaking Binance Coin in terms of market capitalization, claiming fourth place in CoinMarketCap’s ranking. Currently, Solana’s market capitalization is at $50 billion, while BNB is lagging with $40.6 billion.
The achievement coincides with a wider rally on the crypto market, with SOL’s price reaching $119, showing an impressive 67.3% surge over the last seven days. Another notable development is Solana outperforming major cryptocurrencies like Bitcoin and Ethereum in trading volumes on Coinbase.
The latest price increase means that the majority of the investors, who joined the SOL price rally this month, are now holding significant gains.
The performance of the SOL crypto has been outstanding this year. As per trading view data, the SOL’s price has risen by 1047.79% year to date and 615.84% in the last 6 months. It gave a remarkable return of 501.37% in three months. Moreover, its price doubled last month as it gave a return of 94.32%.
As per the data of Trading View at the time of writing, Solana is trading at the value of $114.32 with a 5.48% intraday drop in the market cap. However, the volume has decreased by 14.52% in the past 24 hours. The 24-hour trading volume of the SOL coin is 6.818 Billion and the current market cap is 49.181 Billion.
Key Reasons for Spiking the Solana Price
Ethereum, a primary competitor to Solana, saw skyrocketing transaction fees. It drove customers towards extra less expensive options like Solana, increasing its transaction volume and marketplace value.
In addition. the popularity of the BONK meme coin at the Solana blockchain caused several airdrops, boosting everyday interest and contributing to the rate of upward thrust. Airdrops incentivize humans to use the platform, increasing typical engagement.
Focusing on the transaction fee, Solana’s always low transaction expenses (under $0.01) are reducing Ethereum’s appeal to new customers and investors, mainly “airdrop hunters” seeking free tokens. This elevated interest fuels a tremendous comments loop, pushing the price further.
Investments in Solana
Growing investment in Solana-primarily based funds, outpacing even Bitcoin and Ethereum inflows, indicates multiplied institutional self-assurance within the surroundings. It legitimizes the platform and attracts large investors, including gasoline to the rate surge.
Apart from this, the technical indicators also played a major role in Solana’s performance. The technical signs (RSI and MACD) on Solana’s charge chart advise bullishness, with the rate of buying and selling above key transferring averages. It indicates investor self-assurance and capacity for additional growth in the near destiny.
Solana’s personal engagement metrics have seen a widespread upward push in December, accomplishing new highs in month-to-month active addresses and day-by-day energetic customers. This surge in consumer hobby demonstrates growing adoption and hobby inside the platform, reinforcing the charge boom.
Conclusion
Solana becomes the top headline as it soars and surpasses the Binance Coin in terms of market capitalization. With a remarkable rally on the SOL’s price reaching $119, showing an impressive 67.3% surge over the last seven days. However, the future outlook is uncertain depending on the market conditions.
Disclaimer
This article is for informational purposes only and does not provide any financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your own research before making any financial decisions
Nancy J. Allen is a crypto enthusiast, with a major in macroeconomics and minor in business statistics. She believes that cryptocurrencies inspire people to be their own banks, and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning. She frequently researches, and posts content on the top altcoins, their theoretical working principles and technical price predictions.
