The Solana blockchain has threatened to dethrone the Ethereum network as the largest DeFi ecosystem backed by vibrant meme coin projects.
After attempting to regain bullish momentum in the past few months, Solana SOL $150.7 24h volatility: 2.6% Market cap: $78.01 B Vol. 24h: $3.50 B , a fast-growing layer one (L1) blockchain backed by a vibrant online community of investors and developers, has finally signaled a potential rally towards a new all-time high (ATH) in the near term. The large-cap altcoin, with a fully diluted valuation of about $98.6 billion and a daily average traded volume of around $3.8 billion, surged over 6 percent in the past 24 hours to trade about $168 on Monday, October 21, during the mid-European session.
Solana price gained bullish momentum in tandem with Bitcoin BTC $95 187 24h volatility: 0.5% Market cap: $1.89 T Vol. 24h: $27.23 B , and Ethereum ETH $1 818 24h volatility: 1.2% Market cap: $219.37 B Vol. 24h: $13.75 B , signaling the return of the crypto bull market. Moreover, the October crypto bullish momentum has been gaining traction, fueled by the precious metals’ rally and the ongoing shift in the global economic outlook.
As the United States prepares for its 2024 general elections, the Fed is expected to initiate another rate cut akin to the Chinese counterpart.
Following the heightened crypto volatility, more than $10 million was liquidated from Solana’s leveraged market, mostly involving short traders.
Midterm Target for Solana Price
Solana price has been preparing to go parabolic in the near term after consolidating above the crucial support level of around $120. From a technical analysis point of view, Solana price has successfully broken out of the resistance range between $161 and $163 following today’s pump towards $170.
$SOL Bullish Pennant Formation in 2D Timeframe✅
Incase of Breakout,Next Target will be 350$✍️
#SOL #SOLUSDT #Solana #Crypto pic.twitter.com/dX5bl1iw96
— ZAYK Charts (@ZAYKCharts) October 21, 2024
If Solana price follows a similar breakout trend with the previous bull rallies, market analysts believe the altcoin could spike towards a new all-time high (ATH) in the near term. According to a popular crypto analyst alias ZAYK Charts on the X platform, the SOL price could reach a midterm target of about $350 in the near term.
Already, the SOL/ETH pair has rallied to its all-time high, signaling more investors are betting on Solana to outshine Ethereum and Bitcoin in the coming months.
It is worth noting that Bitcoin dominance has been forming a potential reversal pattern, which could escalate the crypto cash rotation to the altcoin space.
Favoring Fundamentals
The Solana blockchain network has grown to a major web3 ecosystem, with over $6.4 billion in total value locked (TVL) and over $3.52 billion in stablecoins supply. In the past 24 hours, the Solana network registered more than 3.7 million active addresses, compared to the Ethereum network’s 392k.
The Solana network has emerged as a top DeFi ecosystem due to its high throughput and low transaction costs compared to the Ethereum network.
As a result, the Solana ecosystem has attracted more speculative traders seeking to invest in the meme coin space. According to the latest crypto oracle data, the meme coin space on the Solana network has a market cap of about $11.4 billion and a daily average traded volume of over $3 billion as of this report.
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