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Solana (SOL) has seen a notable price surge recently, with its value rising to $215.27, reflecting the broader positive sentiment in the cryptocurrency market. Data from Cointelegraph Markets Pro and TradingView show SOL’s price climbing by over 5% in the last 24 hours and 12% over the past week, mirroring the upward movement of Bitcoin (BTC), which has surpassed the $100,000 mark.
Bitcoin’s recent rally, which saw its price jump by as much as 5% from a low of $97,200 to a high of $102,088 between January 16 and 17, has sparked optimism across the crypto space. This has also positively affected major altcoins like XRP, BNB Chain’s BNB, Dogecoin (DOGE), and Cardano (ADA), all of which have shown green in recent trading sessions.
Market analysts suggest that broader economic factors, such as political developments, are contributing to this growing optimism. With US President-elect Donald Trump’s inauguration on January 20, there is increasing speculation that his administration could foster a more crypto-friendly regulatory environment. Reports hint that his administration might prioritize cryptocurrencies like Solana and XRP, potentially even establishing a US-based crypto reserve.
🇺🇸 BREAKING: Trump considers US-based crypto reserve, potentially prioritizing coins like Solana and $XRP. pic.twitter.com/Lwix7XGrHx
— Cointelegraph (@Cointelegraph) January 16, 2025
In addition to political factors, the cryptocurrency market is closely watching the potential approval of a Solana exchange-traded fund (ETF) in the United States. A Solana ETF could attract significant institutional investment, similar to the capital influx seen with Bitcoin and Ethereum ETFs in early 2024. Analysts from JPMorgan forecast that a spot Solana ETF could draw between $3 billion and $6 billion in inflows, which could push SOL’s price toward the $500-$750 range.
Also Read: Burwick Law Files Lawsuit Against Pump.fun for Controversial Practices in Solana Memecoin Ecosystem
With support levels established around $200 and $208, and the Relative Strength Index (RSI) signaling strong momentum, Solana’s price could continue to rise. The next key resistance is at $220, with analysts eyeing the all-time high of $264 as a potential target. If the ETF approval materializes, SOL’s price could see new all-time highs in the coming months.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m your translator between the financial Old World and the new frontier of crypto. After a career demystifying economics and markets, I enjoy elucidating crypto – from investment risks to earth-shaking potential. Let’s explore!
