On November 18, 2024, Solana (SOL-USD) reached its highest price in three years, climbing to $244.89. This places it less than $20 from its all-time high of $260.06, reached in November 2021. Even more impressive is Solana’s market capitalization, which has now surged past $114 billion, cementing its position as the fourth-largest cryptocurrency by market cap — behind Bitcoin (BTC-USD), Ethereum (ETH-USD), and Tether (USDT). Since the start of the year, Solana's market dominance has more than doubled, now sitting at a historic 3.81%.
Key Growth Catalysts
1. Revival of Meme Token Trading
Solana’s network has seen a significant spike in user activity, particularly in the realm of meme tokens. The blockchain’s Total (EPA:TTEF) Value Locked (TVL) has climbed to $8.4 billion — its highest since 2021. Leading the charge is RAY/USD, Solana's largest decentralized exchange (DEX), which recorded over $4.1 billion in daily trading volume.
Among the standout tokens is Peanut the Squirrel (PNUT-USD), whose capitalization has grown sixfold in two weeks to $1.6 billion, with its price soaring by 2,900%. This resurgence underscores Solana's ability to attract both new and returning traders seeking opportunities beyond traditional markets.
2. Institutional Interest in Solana-ETF
The growing anticipation of a Solana-focused ETF has further amplified investor enthusiasm. VanEck, a leading investment firm, applied earlier this year to launch a spot Solana ETF, expected in 2025. Such developments are drawing the attention of institutional investors, who increasingly view Solana as a key player in the crypto landscape.
A market expert from crypto exchange ChangeNOW, noted, “The anticipated launch of a Solana-ETF has fueled optimism among private and institutional investors. Coupled with increased media coverage, this has brought new users to the network. Many market participants are now projecting the token’s price to rise to $300–$350 by mid-2025.”
What Lies Ahead?
Solana’s growth is being closely watched by traders and investors. Its ability to consistently offer low transaction costs, coupled with high throughput, positions it as a competitive alternative to Ethereum and Binance Smart Chain.
Breaking its all-time high of $260 may just be the beginning. With meme token activity, ETF developments, and rising institutional interest, Solana appears well-poised for continued success. However, the sustainability of this rally will hinge on the network's scalability and its ability to maintain strong user engagement.