SOL has gained by 5% in the past 24 hours, with the Solana price reaching $134 on a day when the cryptocurrency market has actually lost 0.5%.
SOL is also up by an impressive 32% in a week and by 34% in a month, with the altcoin also posting a 490% increase in the past year.
These gains have now pushed Solana into the fifth spot in the market in terms of cap, with the coin only $3 billion away from overtaking BNB.
And given the big momentum it and its platform has enjoyed in recent weeks and months, it has every chance of leapfrogging BNB and rising further in value.
Solana Price Prediction as SOL Nears Surpassing Binance Coin in Rankings, Eyes Ethereum’s Spot Next
SOL’s indicators continue to paint a bullish picture, even if more cautious traders would probably conclude that the coin would have to correct (at least a little) soon.
Its relative strength index (purple) is close to touching 80, which means that the coin has basically entered overbought territory.
Source: TradingView
Also, SOL’s 30-day average (yellow) has been above its 200-day (blue) for so long that a correction is probably in order, yet the 30-day has actually begun rising more steeply in recent days.
This added momentum has followed from a surge in trading volume, which for SOL reached $8 billion a couple of days ago and still remains at around $6.5 billion.
Given such growth, traders can expect SOL to continue rising further, at least in the near future, before it takes a haircut.
86,938 #SOL (11,139,986 USD) transferred from unknown wallet to #Binancehttps://t.co/V5PC4Hea8J
— Whale Alert (@whale_alert) February 29, 2024
It’s likely that it will dip sooner or later, with whales looking like they’re preparing to take profits in the near future.
Yet the bigger picture remains overwhelmingly positive for SOL, both in terms of the coin itself and in terms of its place within a market that appears to be having a bull year.
The crypto market appears to be on a bull run all the way to the next Bitcoin halving, which is likely to happen at some point in April.
From there, it may correct downwards amid profit-taking, yet Solana’s fundamentals should help to lift it well into the future.
Solana Foundation Teams Up with Abu Dhabi Free Zone for Web3 Push
Abu Dhabi Global Market (ADGM) and Solana Foundation announced an agreement to explore blockchain ecosystem development.#CryptoNews #AbuDhabihttps://t.co/nWPmY8ohjU
— Cryptonews.com (@cryptonews) February 8, 2024
Its total value locked in has now hit $2.5 billion, amid a growth in meme coin and NFT usage, not to mention a rise in general adoption.
As such, the Solana price is likely to reach $150 very soon, before pushing towards $200 towards the summer.
New Small-Cap Meme Tokens for Big Rallies
With SOL already looking overbought, some traders may prefer to turn to other alts already, including newer, smaller cap coins that could rally big as they list on new exchanges.
To take one of the best examples, Sponge (SPONGE) is an ERC-20 cryptocurrency that launched the second version of its token last month.
SPONGE has impressively risen by over 160% since listing on Uniswap in early February, with the coin holding onto its early gains.
Source: DEXTools/TradingView
SPONGE has outperformed most other new tokens for a variety of core reasons, with the first being that, having launched the first version of its coin back in 2023, it’s already an established presence.
On top of this, SPONGE V2 introduces two core improvements, with the first being a new staking model that offers a minimum yield of 40% APY.
40% is already high enough, but the yield can move into triple figures, depending on how many stakers and staked tokens there are.
This incentivizes long-term holding, which in turn should boost the coin’s price over time.
Secondly, SPONGE V2 will also be the native token of an upcoming P2E racing game, which will launch in the next few weeks.
This game will enable players to compete against each other and rank on a global leaderboard, while also providing SPONGE with a clear use case.
Combined with its bullish staking system, this use case should mean that SPONGE appreciates consistently over time.
Traders can trade the token at Uniswap or the official Sponge website, with upcoming listings likely to boost its price even further.
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