Solana trades at $243.46, just 8.5% away from its all-time high of $260.
Memecoin-driven DApps generated record-breaking fees, boosting ecosystem activity.
Solana (SOL) is currently trading at $243.46, marking a 10.44% surge in the last 24 hours. The trading volume has skyrocketed to $10.17 billion, reflecting a massive 101.66% increase and signalling heightened investor interest.
With a market cap of $115.55 billion, Solana is now one of the strongest contenders in the crypto market. Its volume-to-market-cap ratio stands at 8.80%, which further emphasizes its increasing market liquidity. Impressively, Solana is just 8.5% away from reclaiming its all-time high price of $259, last reached in November 2021.
The return of memecoin mania has propelled Solana-based decentralized applications (DApps) to record-breaking performance. On November 17, Raydium, a popular automated market maker, generated $11.31 million in fees. Similarly, the liquid staking protocol Jito recorded its third-highest daily revenue of $9.87 million, demonstrating the ecosystem’s vitality.
Other Solana-based protocols also saw impressive earnings. For instance, pump.fun, a memecoin launchpad, collected $1.65 million in fees, while Photon, a Telegram trading bot for memecoins, reported $2.36 million in revenue. This surge in activity coincides with SOL reaching its highest price level since November 2021, signaling renewed investor enthusiasm.
Notably, Solana’s market cap has risen by 44% since its previous all-time high, despite inflationary pressures from token issuance. The increase stems from the protocol’s reward mechanism, which mints new SOL tokens to incentivize stakers.
Bullish Indicators For SOL
Solana’s price action suggests a strong bullish trend. The 9-day moving average (MA) at $220.48 has crossed above the 21-day MA at $195.68, confirming a bullish crossover. This crossover is a widely recognized signal for continued upward momentum.
The current resistance level stands at $244, while support is found at $220. If Solana breaks above resistance, the price could target an all-time high of $259. Conversely, a failure to hold support may lead to a pullback toward $195, offering a potential re-entry point for traders.
The Relative Strength Index (RSI) is at 76, signaling overbought conditions but underscoring strong buying pressure. The RSI average of 69.84 further highlights bullish sentiment. However, traders should be cautious, as overbought levels often lead to short-term price corrections.
Breaking above the $244 resistance could allow Solana to test and potentially surpass its $260 all-time high. On the other hand, a short-term pullback might provide a buying opportunity around $220 or lower. Solana remains a standout performer, with robust fundamentals and technical indicators pointing to sustained momentum.
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