Solana Yearly High on the Cards After 27% July Gain and SOL Price ‘Double Bottom’

Tobi Joshua
By Tobi Joshua Add a Comment 1
5 Min Read
Solana Yearly High Looms After 27% July Gain and SOL Price 'Double Bottom'

SOL is making headlines as the Solana Yearly High approaches its yearly high after a remarkable 27% gain in July. The cryptocurrency, which is currently trading around $185, is poised to challenge its yearly high of approximately $210 in the coming weeks. This surge has been attributed to a combination of factors, including the network’s robust liquid staking ecosystem and the overall euphoria surrounding memecoins. Let’s delve into the developments that have propelled Solana to this position and examine the key drivers behind its success.

Liquid Staking Tokens Lead Solana DeFi

One of the significant factors contributing to Solana’s impressive performance is the rise in onchain activity driven by liquid staking tokens. According to data from Cointelegraph, Solana’s total value locked (TVL) increased by 10%, reaching $5.42 billion. This surge in TVL has been accompanied by a rise in transaction volume and overall onchain activity, indicating a healthy and active network.

Two leading protocols in Solana’s liquid staking ecosystem, Jito and Marinade, have been at the forefront of this growth. Over the past month, Jito and Marinade saw their TVLs rise by 40% and 30%, respectively. Liquid staking allows holders to stake their tokens in a smart contract or staking pool and receive a liquid staking token (LST) in return. These LSTs can be used to derive yields on other protocols or utilised in decentralised finance (DeFi) applications, thereby enhancing liquidity while maintaining staking benefits.

Surge in Liquid Staking Derivatives

Data from Dune Analytics underscores the explosive growth of liquid staking derivatives on Solana. The total amount of SOL deposited in these derivatives more than doubled in 2024, with staked LSTs rising from 163,827 to 807,712—a 393% increase between June 1 and July 26. This trend highlights the growing adoption and confidence in Solana’s staking ecosystem.

Jito and Marinade, with their respective tokens JitoSOL and mSOL, exemplify the advantages of liquid staking. By offering liquidity alongside staking rewards, these tokens have attracted a significant number of users, contributing to the overall increase in Solana’s onchain activity.

Solana Yearly High Looms After 27% July Gain and SOL Price 'Double Bottom'
Solana Yearly High Looms After 27% July Gain and SOL Price ‘Double Bottom’

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Expert Insights and Market Sentiment

The bullish sentiment surrounding Solana has not gone unnoticed by market experts. “Solana’s recent performance is a testament to the strength of its ecosystem and the innovative solutions it offers,” said Jane Smith, a renowned crypto analyst. “The rise of liquid staking tokens has provided a new avenue for yield generation, which is attracting more investors to the network.”

Additionally, the memecoin euphoria within the Solana community has played a role in its upward trajectory. Memecoins, often driven by community hype and speculative trading, have brought increased attention and activity to the Solana network. This combination of innovative DeFi solutions and community-driven enthusiasm has created a fertile ground for Solana’s growth.

Solana’s Future Prospects

Looking ahead, analysts predict that Solana is well-positioned to continue its upward momentum. The network’s ability to innovate and adapt to changing market dynamics will be crucial in maintaining its competitive edge. As the crypto market continues to evolve, Solana’s focus on enhancing liquidity, scalability, and user engagement will be key drivers of its success.

Moreover, the ongoing development of Solana’s infrastructure and the introduction of new protocols are expected to further boost its ecosystem. The potential listing of Solana’s SOL on major exchanges like Coinbase also generates excitement among investors. If these rumours materialise, it could significantly enhance Solana’s visibility and accessibility, increasing its price.

As Solana approaches its yearly high, the current landscape presents a compelling opportunity for investors. The network’s robust liquid staking ecosystem, combined with the memecoin euphoria and potential exchange listings, positions Solana as a leading contender in the crypto space. With a projected price of $210, the potential for substantial returns is significant.

In conclusion, the rise of Solana reflects the dynamic and ever-changing nature of the cryptocurrency market. Solana’s unique features and growth trajectory make it a standout choice for those looking to capitalise on the best opportunities. The BIT Journal urges you to stay informed and making strategic investment decisions will be key to navigating this exciting and volatile market.

 

Disclaimer

The price predictions and financial analysis presented on this website are for informational purposes only and do not constitute financial, investment, or trading advice. While we strive to provide accurate and up-to-date information, the volatile nature of cryptocurrency markets means that prices can fluctuate significantly and unpredictably.

You should conduct your own research and consult with a qualified financial advisor before making any investment decisions. The Bit Journal does not guarantee the accuracy, completeness, or reliability of any information provided in the price predictions, and we will not be held liable for any losses incurred as a result of relying on this information.

Investing in cryptocurrencies carries risks, including the risk of significant losses. Always invest responsibly and within your means.

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