Solana (SOL) Coin and Network Review: Price Prediction 2024

Solana has managed to compete with Ethereum and even outdo it in some aspects, such as maintaining low transaction costs while supporting an immense

Solana has managed to compete with Ethereum and even outdo it in some aspects, such as maintaining low transaction costs while supporting an immense production of tokens daily.

What does the future hold for this crypto asset? In this article, you will learn how Solana price is expected to perform in the next few years. 

Solana Coin and Network Review

Solana is a blockchain built for mass adoption that is fast, composable, green, and globally distributed. According to data from Solscan, the network is currently processing 3,133 transactions per second (TPS)  and 873 true TPS with only 1433 validators.

This is a tiny number compared to Ethereum’s over 800,000 validators, making the former less decentralized than the latter.

Nevertheless, Solana still has outdone Ethereum in terms of active users. Solana boasts 3.096 million daily active users, against Ethereums 442,000.

Over 80% (467,929,971.99 SOL) of Solana’s total supply is in circulation, making it one of the most distributed Layer 1 blockchains in the crypto space. Additionally, 383,426,863.55 SOL are currently staked, which makes up 99.1% of all circulating supply—staking locks away tokens from circulation, making them scarce and increasing their demand. 

Why Solana Price May Pump

Solana has become popular because of several reasons:

Why Solana Price May Dump

While Solana’s popularity helped its price surge from sub $20 prices to over $180 in 2024, the network does have some cons investors should consider before throwing their funds in Solana-based projects:

Solana (SOL) Price Technical Analysis

The price of Solana, as of September 12, 2024, is 135.65, with a market cap of $63,526,687,181. 

Solana’s weekly timeframe shows a bull pennant forming after a strong upward rally from 2022 lows. This pattern typically signals a continuation of the previous trend, which in this case is bullish. If Solana breaks above the upper trendline, it could lead to a significant upward move.

Support and Resistance Levels

The lower boundary of the triangle acts as strong support around $100–$110, while the upper boundary of the triangle is around $160. A breakout above this could lead to a continuation of the previous bullish trend.

The weekly candlesticks show consolidation, with no significant bearish reversal patterns, supporting the potential for a bullish breakout from this triangle. The candlesticks inside the triangle are forming higher lows, which is a bullish signal.

Volume analysis shows noticeable spikes in volume during the upward rally, with decreasing volume during consolidation. This volume behavior typically supports a potential breakout scenario when the price nears the apex of the triangle.

Declining volume during the formation of the symmetrical triangle (pennant) is typical. As the price nears the apex, an increase in volume on the breakout will be necessary to confirm the move-up.

Long-Term & Short-Term Trade Recommendations

Solana (SOL) Price Prediction 2024

‘Solana ETF’ is a buzzword in the crypto space currently. Many crypto enthusiasts were overjoyed to hear that VanEck filed for Solana ETF. 

VANECK just files application for $SOL ETF ? pic.twitter.com/ip09PtgpXP

However, the SEC and CBOE halted the Solana ETF progress due to concerns over Solana’s classification as a security. Following discussions, they agreed not to submit 19b-4 filings, which would have initiated the approval process. 

Further, the likelihood of Solana ETFs being approved under the current administration is low, with experts suggesting it might not happen until 2025, if at all.

Post ETF, Solana market cap is expected to reach between $170B and $220B. This suggests a price range of $370 and $440. In a bullish scenario, Solana might mirrors platforms like Ton blockchain, price could soar to $1000 by end of 2024.  

This analysis presents a path for Solana’s potential price trajectory, offering investors insights to navigate their investment decisions.

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