Solana’s indigenous token token, SOL (SOL) recorded 8.5%on March 24, recovering $ 142 for the first time in two weeks. The rally reflects the benefits of the wider cryptocurrency market as traders begin to expect a reduction in the risk of economic downturn. Risk -risk appetite can be seen among memo coins, and some of them have increased by more than 12% since March 23.
Except for a wide range of market rally, SOL has its own advantages, such as increasing network activities and direct participation with US President Donald Trump’s Memecoin Market. In addition, as it raises the top traders’ interest in the exchange and increases the possibility of approval of Solana Exchange-Traded (ETF), it has additional potential for price growth of SOL.
SOL/USD (Green) Grand encryption market cap (orange). Source: TradingView / COINTELEGRAPH
Despite the recent rally, SOL has been 23.7% of the more extensive encryption market over the past two months. This weakness is associated with a 93% reduction in Solana network rates during that period. This reduction began with the disappointment of merchants in the Memecoin sector, but it gradually influenced the entire Decentralized Application (DAPPS) market.
SOL still trades 52%from 52%ever.
Since SOL is currently trading 52%from 52%from $ 295 in history, traders are now questioning whether sales are over -reaction. This occurs despite the fact that Solana maintained the second largest blockchain with the total value lock (tvL) and ranked third in the onChain volume. For comparison, BNB is 20% lower than its highest level and XRP is up to 28% lower.
The blockchain has been ranked with total value lock (tvL) and USD. Source: Defillama
TRON and BNB chains offer competition in terms of onChain volume, but Solana Network’s smart contract deposits $ 6.8 billion. The third place and the BNB chain have a 21% less TVL and have $ 5.4 billion. The main highlights of Solana include Jito Liquid Stacking Solution, Kamino Lending and Liquidity Platform and Jupiter Distribution Exchange.
The fee for Solana network is now higher than the Ether Leeumbase tier and exceeded $ 1 million a day. More importantly, Solana’s revenue has reached the highest level in the last two weeks. It is far from the level of two months ago, but the increase in Solana network activities suggests that the number may have reached the floor as the number continues to improve.
SOLANA Network Daily fees, USD. Source: Defilllama
Ether Leeum increased the ETH supply on March 23 because it recorded less than $ 350,000 as a commission, and the built -in video mechanism did not offset weak blockchain activities. Solana, on the other hand, provides 7.7% primitive staying compensation rate and surpasses 5.1% inflation rate according to StarkingRewards data.
Solana ETF crystals are getting closer and Trump tweets strengthen momentum.
Despite the price weakness of the SOL, Binance’s top traders have increased the bull position for the SOL.
Binance Top Traders’ Long SOL ratio. Source: COINGLASS
The long -term ratio between Binance’s top traders has soared to 2.40 on March 23, which is the highest level in two months. Some of the excitement may be due to the expectation of the Solana Exchange-Traded Fund (ETF) approval in the United States.
According to Matthew Sigel, Vaneck’s Digital Asset Research Officer, the US Securities and Exchange Commission is expected to make a final flat before the end of the year. Success is not guaranteed, but Solana ETF approval will differentiate SOL from competitors to add justification among assets, especially institutional investors.
Another source of propulsion came from President Trump’s weekend social post, which explicitly mentioned Trump Memoin and helped to make a winding sound in this sector. In the Solana ecosystem, FARTCOIN raised 15%on March 24, Dogwifhat (WIF) was 12%, and PUDGY PENGUINS (PENGU) increased 12%.
Ultimately, SOL can get significant profits considering the strong positioning of whales using leverage compared to the TVL and fees of the network, especially compared to competitors.
This article is for general information purposes and should not be considered legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.