Solana (SOL) continues its upward trajectory, approaching the $150 mark. Crypto analysts anticipate a significant rise, with some even targeting over $200, while the network sees explosive growth in trading volume on decentralized exchanges (DEX).
The meteoric rise in the price of SOL
Solana (SOL) has seen a notable rise in recent days, gaining another 5% over the past 24 hours to reach $145. This psychological level of $150, most recently reached in January 2022, is generating excitement within the crypto community.
However, Santiment analysts note a lack of enthusiasm typical of fear of missing the train (FOMO), which could potentially slow down this climb.
Despite this, many market observers predict a sharp increase in the price of SOL, with some even anticipating it surpassing $200.
This rise is supported by intense trading activity from memecoins based on the Solana blockchain like Dogwifhat (WIF), as well as increased interest from large investors following the announcement of Pantera Capital’s plan to massively acquire SOL assets of the bankrupt FTX exchange.
Although the current price remains 43% below its all-time high of $259 set in November 2021, the veteran analyst Altcoin Sherpa remain optimistic. He suggests that SOL could not only surpass its previous high, but also reach new highs during this market cycle, although he considers it unlikely that the price will reach $1,000.
Record volumes on DEXs propel crypto SOL
Along with rising prices, Solana’s DeFi ecosystem is experiencing massive growth. According to DeFiLlama, the daily volume of decentralized exchanges on Solana repeatedly exceeded the $2 billion mark in early March, peaking at $2.85 billion on March 5. This increase of more than 150% in one week attracted approximately $15 billion.
Currently, Solana has a 28.5% market share of total DEX volume, just behind Ethereum at 36.1%. A year ago, Solana represented only 1.1% compared to 50 to 70% for Ethereum. This development highlights Solana’s rapid growth trajectory in the DeFi ecosystem, positioning itself as a serious competitor to Ethereum despite its recurring network issues.
The main DEXs on Solana are Orca with $847 million traded in 24 hours, followed by Raydium ($595M) and Phoenix ($288M).
In short, the recent surge in the price of SOL, supported by record trading volumes on DEXs, demonstrates the positive dynamics of this expanding ecosystem. Despite occasional technical challenges, Solana is positioning itself as a serious competitor in the DeFi space and attracting the attention of institutional investors. If efforts to strengthen network stability are successful, Solana could well continue its momentum and reach new heights in the months to come.
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