Solana SOL suffered a major crash in August, along with much of the crypto market, falling from nearly $200 to under $120. The asset was one of the better-performing crypto assets in 2024, before a stock market crash sent cryptocurrencies tumbling. Analysts previously predicted that SOL was headed for a price explosion, above $1,000. However, bullish predictions are now more cautious, with network data suggesting that SOL could soon reach $190, rather than adding a zero.
Solana SOL was last traded above $190 on July 29, despite an impressive 33.5% gain since retesting the $110 level on August 5. $150 is proving to be a tough resistance level for the asset, which is currently trading at $145. From an analysis standpoint, it seems highly unlikely that SOL will trade at $1,000 anytime soon. On the other hand, it is not impossible, as SOL is on a similar path as Ethereum in 2021, one of the best-performing crypto assets of the year.
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Will Solana SOL Remain Optimistic in 2024?
As previously mentioned, Solana has been doing very well in 2024. Trading volume for the token has skyrocketed, with SOL up nearly 480% since this point last year. In 2024, Solana overtook BNB Chain to become the second-largest blockchain by total locked value (TVL), with $4.8 billion in deposits. Solana’s DEX total turnover over the past seven days was $9.4 billion, compared to Ethereum’s $10.8 billion.
This data shows how competitive the market has become since Solana came into the spotlight. The token has fallen along with the entire market over the past month, but that does not detract from the positive performance of the year before and after.
If SOL eventually breaks through $150 again, the token could break through a few more resistance levels towards $190 and higher. Solana has yet to touch $200 this year, but with the bulls behind it, this event remains possible before the end of 2024.
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There is a huge potential for a breakout between $148 and $150. If one starts to form, the asset will likely make a solid run to $164. Success there would be monumental, according to some traders. In particular, pseudonymous user CryptoJack took to X (formerly Twitter) to share his perspective.
They note that SOL could be preparing for a breakout “above $190” soon. Furthermore, they stated, “It will probably explode to the upside.” While there is a lot of downside potential, the upside is huge. This is especially true amid the recent ETF hype. One VanEck Director called a SOL ETF “inevitable.”