Solana Rebounds From $175 Low – Could This Be the Launchpad to $300?

Simon Chandler

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Simon Chandler

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Simon Chandler is a Brighton-based writer and journalist with over ten years of experience writing about crypto, technology, politics and culture. He has written for Cryptonews.com since late 2017,...

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Last updated: 

December 23, 2024

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Solana has rebounded by 0.5% in the past hour, with the altcoin moving back to $184.88 as the cryptocurrency market suffers a 2% fall in the past 24 hours.

SOL remains down by half a percent in the past day, yet it has recovered by 5% since falling to one-month low of $175 on Friday.

Its recent troubles means it’s still down by 16% in a week and by 28% in a month, although it holds on to a 92% increase in the past year, as part of a long-term upwards trajectory.

And its bounce up from $175 suggests that it has already bottomed, and that it could enjoy a substantial recovery as we approach the end of 2024.

Solana Rebounds From $175 Low – Could This Be the Launchpad to $300?

While Solana still remains down on the medium-term timeframes, its indicators have begun showing signs of an incoming recovery.

Its relative strength index (purple) has risen from a low 30 over the weekend to just over 50 today, signalling a return of buying pressure, as traders look to buy the dip.

It also seems as though SOL’s 30-period average (orange) has bottomed out and should begin climbing back towards its 200-day average (blue), a sign of a bullish reversal.

As such, now does indeed look like a good time to buy Solana, which remains 30% down on the all-time high (of $263) it set at the end of November.

At the moment, whales aren’t accumulating SOL in significant numbers, with the last big purchases coming in the first week of December.

Yet analysts are predicting a big incoming upswing for Solana, based on its current position and on historical patterns.

Looking at the tweet below, the popular Crypto Rover account seems to suggest that SOL could pass $900 by the second quarter of 2025.

This may be optimistic, but it is entirely arguable that the current crypto bull market is only just getting started, what with Donald Trump’s second inauguration still ahead of it.

A new Trump administration is likely to bring a much more favorable climate for crypto, with the President-elect already appointing the pro-crypto Paul Atkins as the person to replace the outgoing Gary Gensler as SEC Chairman.

We may also see the belated arrival of comprehensive cryptocurrency legislation, which will further help nurture the cryptocurrency market in the US and elsewhere.

This is why experts have predicted big things for Solana in 2025, with the coin likely to pass $300 by the end of Q1.

Diversification with New High-Return Alts

Solana is likely to remain a strong performer for some time to come, but the ongoing bull market will also bring numerous other altcoins to the fore.

This includes low-cap tokens and also presale coins, which can often surge when they list for the first time, especially if they’ve had a big sale.

And one token having a big sale right now is Solaxy (SOLX), which has already raised $4.5 million only a couple of weeks after opening its offering.

Solaxy is exciting because it’s preparing to launch Solana’s first layer-two network, helping users to avoid failed transactions, outages and congestion.

While Solana has become more robust in recent months, dropped transactions and temporary outages have continued to affect the layer-one network during periods of peak traffic, so there’s clearly a demand for a reliable L2 solution.

Within Solaxy’s ecosystem, SOLX will serve exclusively as payment for transactions fees, meaning that it could experience huge demand as the L2 grows.

It will have a max supply of 138.046 billion SOLX, with 25% of this going to its sale and to community rewards.

Investors can join its sale by going to its official website, where SOLX currently sells at $0.001576.

Buyers should act quickly, since not only will this price rise in a day, but it will increase dozens of times before the sale ends.

And once it does end, Solaxy’s early success could mean that its price explodes upon listing.