Lightening-fast Solana (SOL)

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28 Jan 2024

What will 2024 have in store for Solana (SOL)?

Solana (SOL), the blockchain network renowned for its lightning-fast transaction speeds and scalability, has recently made a remarkable comeback. Despite facing a setback during the market downturn, SOL's price has surged by 10% in less than 24 hours, reigniting enthusiasm for its potential to reach new heights. Investors are now speculating whether Solana (SOL) is on the verge of a breakout, with some even considering the possibility of it surpassing $90 or more.

Why is there renewed optimism for Solana (SOL)?

One of the main reasons behind Solana's renewed optimism is the introduction of "token extensions" on its network. These extensions enhance the functionality of tokens by enabling features like private transactions, transfer hooks, and native fees directly within the network. This update, part of the v1.17 release, aims to cater to enterprise applications and comply with regulations, paving the way for increased adoption of Solana.

New developments on the Solana blockchain

Furthermore, Solana's development team is actively working on improving the network's transaction capabilities. The development of Firedancer, a validator client by Jump Crypto, is expected to significantly enhance Solana's processing power, enabling it to handle millions of transactions per second. Coupled with other planned upgrades like sharding, these developments could solidify Solana's position as a leader in the high-performance blockchain space.

How resilient is Solana?

Solana's network has demonstrated remarkable resilience throughout 2023, setting it apart from its competitors. Unlike other platforms, Solana has managed to avoid major outages and maintain stable operation, further establishing its reputation as a reliable platform. Moreover, the network has experienced significant growth in crucial areas, particularly in decentralized applications (DApps) and non-fungible tokens (NFTs). Solana's total value locked (TVL), which reflects the amount of cryptocurrency deposited in its DeFi protocols, is approaching a three-month high of 15.3 million. This indicates a strong demand for Solana-based DeFi applications, suggesting a thriving ecosystem with promising growth potential.

The NFT scene on Solana is also flourishing, with popular collections like MadLads, Tensorians, and Solana Monkey Business witnessing increased trading volume. Although their floor values may have dipped slightly, the rising volume indicates sustained investor interest and the potential for future appreciation.

How will 2024 go for Solana (SOL)?

Solana kicked off 2024 with a bang, surpassing Ethereum in terms of trading volume and experiencing a remarkable 40% surge in just the first week. This impressive performance has sparked speculations that the rise may continue throughout the coming months. Despite some fluctuations, market insights suggest that Solana's price could potentially see a substantial increase. However it will certainly be interesting to see what happens should the Ethereum ETF be approved.

The real fireworks, however, are expected to occur in the second half of the year, where Solana is predicted to experience a meteoric rise. This anticipated surge could propel the SOL price beyond $150, representing a significant 72% increase from its current value, which is currently below $100. As we approach the end of 2024, experts predict that Solana's price could reach an all-time high of $250, with some forecasts even ranging between $300 and $280.

This means that holders of Solana (SOL) could potentially earn massive profits throughout the year. If Solana maintains its impressive momentum and avoids any major technical issues, it is highly likely to reach the projected price range of $250 to $300 before the year comes to a close. Additionally, Solana's position in the NFT and DeFi space, coupled with its advantages of cheaper and faster transactions, further adds to its appeal and potential for growth.

In conclusion

Solana's recent resurgence, fuelled by technological updates and its thriving network, has sparked optimism among investors. With its impressive performance and potential for further growth, Solana is poised to make a significant impact in the blockchain industry.