Solana (SOL) reached a new all-time high above $264, fueled by a prolonged market rally and optimism following Donald Trump’s re-election as US president.
Solana Hits All-Time High, Up 11% Amid Market Rally
According to CoinGecko data, the cryptocurrency has gained 11% in the past 24 hours, surpassing its previous record of $259.96 set on November 6, 2021.
The cryptocurrency market has been on the rise, buoyed by expectations of a crypto-friendly administration under Trump.
Solana’s resurrection follows a string of record highs for Bitcoin and a three-year high for XRP, the latter coinciding with the announcement of Gary Gensler’s departure as SEC Chairman.
The GMCI 30 index, which tracks the performance of the 30 largest cryptocurrencies, has gained 8% in the last 24 hours and 46% in the past month, underscoring the broad momentum in the market.
Reports indicate that the SEC is consulting with issuers on applications for spot Solana exchange-traded funds (ETFs), signaling potential regulatory approval.
These developments align with the growing popularity of Solana, with increased decentralized application (dapp) activity and a resurgence in memecoins like Dogwifhat (WIF) and Peanut the Squirrel (PNUT).
“Solana’s dapp ecosystem is thriving, attracting approximately $173 million in institutional funding in Q3 2024, a 54% increase from the previous quarter,” said Rachael Lucas, crypto analyst at BTCMarkets.
Solana has staged a remarkable recovery from its 2022 lows of $8 following the FTX crash and subsequent market shock.
Once seen as a cost-effective and faster alternative to Ethereum, Solana is now leveraging ecosystem growth and competitive advantage to strengthen its position in the market.
“While Ethereum faces challenges such as rising fees and competition from Layer 2 solutions, Solana continues to stand out as an attractive alternative,” Lucas added.
With the market rally showing no signs of slowing and institutional interest intensifying, Solana looks set for further growth in the coming months.
*This is not investment advice.