Solana price could be on the verge of a strong bullish breakout as investors focus on a “new” $1.9 billion catalyst. SOL token was trading at $157.71 on Wednesday, higher than the year-to-date low of $95.60.
Solana Price Has a $1.9 Billion Catalyst
Solana has emerged as the largest blockchain network in the cryptocurrency industry, based on active addresses and transactions.
Data shows that Solana’s transactions in the last 30 days jumped by 62% to 1.9 billion. This is a big number considering that BNB Chain, the second-biggest one in the sector, handled 306 million transactions. Base, Tron, Near Protocol, and Aptos handled over 132 million each.
Solana’s transactions were 47 times those of Ethereum in this period, as it handled over 40 million of them. This big difference shows how far Solana has gone ahead of Ethereum, a chain that dominated the industry.
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The same is happening in terms of active addresses, where Solana had 123 million. BNB had 23 million, while Base, Tron, and Near had much less than that. Ethereum had 6.7 million transactions in the same period.
Solana’s network had over $43 million in fees in the last 30 days, much higher than BNB’s $15 million. Ethereum, which has higher transaction costs than Solana, made $42 million in this period.
Solana’s network growth has been driven by the growth of its meme coin ecosystem. Its market cap surged to over $15 billion last month, up from $6 billion in April, as most of them surged.
Furthermore, Solana staking yields higher returns compared to other chains. It offers a staking yield of over 7%, surpassing Ethereum’s 2% and BNB’s 1.5%.
More companies are also hoping to become mini-MicroStrategy by accumulating SOL tokens. Upexi, Janover, and Classover have all announced plans for buying Solana coins.
The only weakness in the Solana network is its stablecoin market cap, which has dropped recently. Its stablecoin valuation dropped from a high of $13 billion in April to $11 billion.
Solana Price Prediction
SOL price chart | Source: TradingView
The weekly logarithmic chart gives a better explanation of why the Solana price may surge soon. The formation of the cup section of the cup-and-handle pattern has already been completed. It is now forming the handle section, which may trigger more gains ahead.
The price target in a C&H pattern is established by first measuring its depth, which, in this case, is about 96%. One then measures the same distance from the cup’s upper side, which brings the target price to $500.
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