What Pushed Solana (SOL) To Its All-Time High?
Solana (Sol) is currently on fire; it reached new heights while building broader visibility.
Solana (SOL) has now surpassed $219.11, Messari data stated.
Until now, the entire cryptocurrency had increased by 13,500% and these digital currencies were trading near $212 USD dollars as of October 26, 2021.
Notably, the SOL reached its latest peak as did that of the Total Locked Value (TVL) on the DeFi projects, which were built on the Solarium platform.
On October 26, the TVL number hit $13.67 billion, and in addition, the value of Solana tokens increased at the same time. Other Layer 1 tokens also increased with Bitcoin, reported Cointelegraph and CoinDesk.
However, when the research was conducted to see the latest SOL price, contributing analysts highlighted several bullish aspects.
“Solana is moving forward for several reasons,” said Tim Enneking, managing director at Digital Capital Management.
Additionally, Solana can deliver what Ethereum (ETH) has “promised literally for years (low transaction fees, PoS, increased scalability, etc.)”.
In addition, the association with the FTX cryptocurrency exchange offers a tailwind.
Finally, “Solana’s growth percentage (in virtual metrics such as community size, Twitter mentions, TVL, and more) has higher magnitude than ETH.”
Timothy Enneking also commented that “Probably the strongest indicator today is the opening of a $10 million leveraged long position on Bitfinex in the last 20 hours and the closing of a $4.5 million short position,” he said.
Enneking also pointed out that “the $15 million net improvements in margin positions on a single exchange is huge and illustrates this.” “All of this just leads to the conclusion that the potential surge in SOL is greater than the potential surge in ETH, although ETH appears to be reaching a new ATH soon.”
CEO of CEX.IO, Konstantin Anissimov also explained Solana’s benefits.
The SOL has its value proposition, “which creates strong competition for Ethereum and other L1 Blockchains where projects can develop DeFi solutions,” he said.
“Solana offers a very fast execution for less than $0.01. This, coupled with a very active developer community and generous developer grants to drive innovation, is a success.”
However, he spoke about the opposition created by ETH, “Solana is not the only L1 blockchain project with such a promising future.”
“And we must not forget Ethereum’s dominance in the space, regardless of price or speed of execution.”
Jordy Pasquale, CEO of Cryptocurrency Hedge Funds, explained this development and provided more facts on this growth.
“Right now, the future of BTC remains uncertain, so traders are looking for relatively safe altcoin,” he said.
“Without a full-fledged ‘alt season’, it is natural for traders to look for assets that have shown that they have performed well in recent months and can move somewhat independently of Bitcoin.”
“Solana is at the top, but others are DOT, LUNA, ATOM, etc.”
“These good stocks are expected to perform well until the market is confident enough to invest in the riskier altcoin.”