-->The Solana price rose to the level above $114 on Monday after Solana reached a Total Value Locked (TVL) of $1.9 billion, a 20-month high and a growth of +244% in the past 3 months. However, the Solana price fell again today by 2.3% to the level of $109.36 and is receiving support around $107.

Despite positive news for Solana, the altcoin experiences a pullback on Tuesday morning. Can Solana recover now that the network has become even more popular?

Growth of Solana Blockchain

The Solana price was below the $30 level for much of 2023, until the network experienced a growth spurt and increased in value by more than +300%. Solana also appears to be growing further this year, as can be seen from Solana’s TVL which reached a 20-month high of $1.9 billion, a growth of +244% compared to 3 months ago.

Compared to November 2023, the Solana price has also risen by almost +100%, another clear sign that Solana is growing in popularity. Currently Solana is very popular for trading (degen) meme coins, shitcoins and airdrop cryptos.

You pay less than 1 cent for a transaction on Solana, with an average rate of $0.00025 per transaction. This makes the Solana blockchain ideal for trading highly volatile crypto coins, many of which collapse after 1 day or turn out to be a back pull within 10 minutes. But Solana could possibly also be used for tokens with more utility in the near future.

Meme coins such as Bonk (BONK) and dogwifhat (WIF) are popular crypto memes that have contributed to Solana’s rise in popularity in recent months.

Although the meme coins provide a lot of volume on Solana and create a lot of demand, Solana can grow much further in case projects emerge that offer more utility.

If strong projects are built on Solana, less than $110 per SOL could still be very cheap. Perhaps these projects already exist, but for the time being they will not reach the mainstream and Solana will remain all about airdrops and meme coins for a while and a price below $200 will be the limit for SOL for the time being.

SOL Price Analysis – What Will Solana Do This Week?

At the time of writing, Solana is just below $109 with a decline of -3.1% in the last 24 hours and -4.8% in the last 7 days. This while Ethereum, Solana’s ‘competitor’, has risen by almost +9% in the past week.

The rise of Ethereum may have an impact on the Solana price, as investors are very optimistic about the upcoming Ethereum Dencun upgrade. It is probably because of this that Solana is struggling, while Bitcoin has broken through the $50,000 mark in the past week.

The Solana price may find support around $107 and its 30-day moving average (yellow) around $101. Solana’s Relative Strength index (RSI) is tumbling towards the neutral level of 50 today and is currently at 55.

Solana rate chart
Solana rate chart – TradingView

With the rising popularity of Solana as a blockchain, the altcoin could break the resistance around $110 again today or tomorrow with the possibility of consolidating above this level.

For the SOL price to rise further, Solana would have to face even more adoption, for example through promising crypto projects that could be launched on the network this year. If this happens, Solana could reach a new All Time High (ATH) above $260 in 2024.

Which Altcoins Will Explode in the Coming Weeks?

While Solana falls below $110, there are altcoins that have received a lot of attention in the past week. Some of these are still for sale at a low price in the presale, while others have already been launched and have increased in value.

In this section of the article we look at some of the best crypto investments of the moment, which could yield big profits in the coming weeks.

Bitcoin Minetrix (BTCMTX)

Bitcoin Minetrix (BTCMTX) has received a lot of attention lately thanks to its unique staking mechanism that makes it possible to mine Bitcoin via the cloud. For example, the project raised $11.2 million / $15 million from the presale sale of BTCMTX and will soon launch this token on its first exchange.

By staking BTCMTX via the Bitcoin Minetrix dashboard, you passively earn mining credits and additional BTCMTX tokens. You can exchange these mining credits for hash power on the Bitcoin blockchain to approve transactions, for which you receive BTC as a reward.

BTCMTX is on sale today for $0.0136 per unit in presale and will soon increase to $0.0137 per unit. During the presale you have the option to retire BTCMTX early for passive rewards with an annual return (APY) of 60%.

Smog (SMOG)

Smog is currently one of the most popular meme coins on Solana, mainly thanks to its anticipated airdrop, which could become the largest airdrop in crypto history. As a result, the meme coin has received a lot of attention and more than 7.8 million SMOG tokens have already been staked for extra airdrop points.

As a SMOG holder you are eligible for the largest crypto airdrop, but by completing quests and staking SMOG you will earn airdrop points, which will give you an even bigger share of the airdrop. As much as 35% of all 1.4 billion tokens will be used for airdrops and the current SMOG price is $0.068.

SMOG can be purchased via the decentralized exchange Jupiter and via the official website. Smog launched around $0.01 and has peaked at $0.095, but with the number of holders and staked tokens increasing, SMOG could go even higher in the next push.

Sponge V2 (SPONGE)

Sponge is a token that launched just after Pepe last year and attracted a lot of attention, delivering up to 100x returns for early investors. This year, Sponge has returned in the form of Sponge V2, the new meme coin from the same team with more utility than its predecessor.

The new variant of Sponge can be staked at a 190% APY to prepare for the launch of Sponge’s new Play-to-Earn (P2E) game. In this racing game you compete against other players in the leaderboards and earn extra SPONGE tokens. The game will also have a free version.

Sponge V2 is available for purchase via the official website, sponge.vip and has already climbed around +100% since its launch, but could rise even further in the coming weeks. After launching its new P2E game, Sponge V2 has the potential to go viral and rise even faster.

Disclaimer: This article contains insights from independent authors and is not part of BitcoinMagazine.nl’s editorial content. This is not investment advice, please do your own research.

Source: https://bitcoinmagazine.nl/nieuws/sols-tlv-groeit-244-in-3-maanden-wat-gaat-solana-doen

Leave a Reply

Your email address will not be published. Required fields are marked *