In 2024, Solana (SOL) experienced a transformative year, bolstered by favorable developments in the cryptocurrency space.

Support from Donald Trump’s second presidential term, seen as pro-crypto by the altcoin community, and Ripple’s legal victory over the SEC contributed to a 200% surge in SOL’s value, culminating in a new all-time high at $266 by late November. Besides that, technically Solana is well supported as well, starting 2025 on a bullish footing as the price resumes the upside momentum after a pullback, making higher lows which is another bullish signal.

Solana Technical Analysis – Buyers in Control As the Lows Keep Getting Higher

Solana started at minimal value, but got a nice ride during 2021, surging to $260 by the end of that year, which remained the all-time high until November 2024 when SOL/USD reached $266, opening the door for $300 in Q1 of 2025 and possibly $500 later this year.

The massive gains after the 2021 surge couldn’t be sustained and SOL coin retreated lower during 2022, falling to $20-$30, where it consolidated for most of 2023. The crypto market went through another bullish wave in Q4 of 2023, which sent Bitcoin to a new record high, while Solana surged to $120. This level turned into support throughout 2024, ignoring the SEC lawsuit, which was a sign of a positive outcome. However, it retreated below $100 in December where SOL/USD closed in 2023.

SOL/USD Chart Weekly – MAs Are Acting As Support

Last year, SOL/USD started at $94, but resumed the uptrend soon, as the buying momentum in the crypto market spilled into early 2024. Solana increased more than 200%, as the SOL price increased above $200. But the upside momentum stalled and we saw a consolidation in a range below $200, with $120 turning from resistance into support.

By September, the 50 SMA (yellow) caught up with the price on the weekly chart, sending the SOL price higher again, helped by the court ruling in favour of Ripple and against SEC, as well as by Trump and Republicans taking a sweeping victory in November 2024.

That sent Solana to a new record high at $265. In December the price retreated below $200, but the 20 weekly SMA (gray) held as support, so the larger trend remains bullish.

Solana’s architecture is designed for scalable blockchain applications, supporting millions of users and enabling developers to focus on innovation without worrying about optimization. Its decentralized network of thousands of nodes enhances censorship resistance.

With low fees averaging $0.00025 and lightning-fast confirmation times of 400 milliseconds, Solana is ideal for user-friendly decentralized applications (dApps). Launched in 2020 by Solana Labs, founded by Anatoly Yakovenko and Raj Gokal, the platform operates on a proof-of-stake consensus.

Its advanced Sealevel technology processes multiple transactions simultaneously, achieving a throughput of 20,000 transactions per block. Optional prioritization fees allow faster processing during peak demand.

Solana Monthly Chart – Printing a New Record As We Enter 2025

In early 2025, Solana has been consolidating above $200 after reaching a record high of $260 in November. This consolidation is typical after market peaks, allowing the asset to build momentum for potential upward moves, particularly if ETF approvals materialize.

Solana’s technological advancements continue to strengthen its position. The Token-2022 update, a key part of Solana’s roadmap, aims to enhance SPL token functionality by integrating features like interest-bearing logic and transfer fees.

These updates are expected to boost platform security, efficiency, and utility, increasing user confidence and driving further demand for SOL, which could positively impact its price trajectory.

Innovations and Partnerships

In September 2023, Visa expanded its collaboration with Solana, integrating the blockchain into its payment systems alongside Worldpay and Nuvei. This partnership supports seamless and instant USDC transactions through Solana Pay, with costs amounting to mere fractions of a cent, further solidifying Solana’s role in modernizing digital payments.

Solana’s NFTs and Growing Popularity

Non-Fungible Tokens (NFTs) have become a key use case for Solana, thanks to its fast transaction processing and user-friendly features. The blockchain’s energy efficiency, scalability, and low gas fees make it an attractive competitor for Ethereum regarding NFT creators and collectors.

Solana’s innovative combination of proof-of-history (PoH) and proof-of-stake (PoS) consensus mechanisms enables the network to handle over 65,000 transactions per second, far surpassing Ethereum’s 30 transactions per second.

One standout NFT collection on Solana is Mad Lads, created by Backpack, a Solana wallet, and launched in April 2023. This collection features 10,000 xNFTs, also known as profile picture NFTs, with a valuation of nearly $150,000.

These NFTs demonstrate the growing appeal of Solana-based projects in the NFT ecosystem. Platforms like OpenSea provide decentralized marketplaces for buying, selling, and gifting NFTs, while Alchemy offers SDKs and APIs for developing multichain Web3 applications, further expanding the possibilities for creators and developers.

Solana Ecosystem Highlights

Solana powers a diverse range of tools and services beyond NFTs. Raydium, an automated market maker (AMM), leverages the Serum decentralized exchange (DEX) for rapid trades, pooled liquidity, and yield-earning options.

For payment solutions, Coinflow bridges traditional finance and crypto by allowing Web3 businesses to accept conventional payment methods and convert Bitcoin to USD for deposits into traditional bank accounts.

Additionally, Kraken, one of the most trusted U.S.-based cryptocurrency exchanges, supports Solana’s ecosystem and offers a secure platform for trading and banking.

By combining fast transactions, cost-efficiency, and a thriving ecosystem of applications, Solana continues to solidify its place as a leading blockchain for NFTs and decentralized finance (DeFi).

SEC’s Evolving Stance on Binance.US and Solana

On July 30, 2024, the SEC notified Binance.US of its intention to amend its complaint to include allegations involving “Third Party Crypto Asset Securities.” While some interpreted this as a potential softening toward cryptocurrencies like $SOL, $ADA, and $POL, the proposed amendments did not eliminate charges related to unregistered securities. By late 2024, the SEC had sharpened its focus on these tokens, particularly their sales practices, which it argued violated securities laws.

In October 2024, the SEC revised its complaint, notably removing the term “crypto asset securities,” a phrase that had drawn widespread criticism. However, the case persisted into 2025, with the SEC alleging that Binance.US facilitated the unregistered trading of tokens like Solana. Additionally, reports suggested the SEC planned to reject two applications for spot Solana (SOL) ETFs, further clouding the regulatory landscape.

Shifts Favoring Solana in 2025

Despite the SEC’s continued legal pressure, recent developments could bolster Solana’s position. The dismissal of the former SEC chair, Ripple’s legal victory against the commission, and the pro-crypto policies of Donald Trump’s new administration signal a shifting regulatory environment.

The crypto community is buoyed by the resignation of SEC Chairman Gary Gensler, while his successor, Paul Atkins, is known for opposing the SEC’s heavy approach and advocating for clear, well-defined regulations.

This shift in leadership is raising hopes for a more favorable stance toward digital assets, potentially fostering a more supportive environment for the cryptocurrency industry. These changes may pave the way for a more favorable outcome for Solana and other cryptocurrencies under scrutiny.

Solana Spot ETF Approval Could Propel SOL to $500 in 2025

The cryptocurrency market is closely watching the possibility of a Solana spot ETF, which could mark a significant milestone for the SOL ecosystem. Following the success of Ethereum and Bitcoin ETFs—launched in July with net asset values of $12.438 billion and $60 billion, respectively—the buzz around a Solana ETF is growing. The SEC has already received applications from issuers like VanEck and 21Shares Cboe BZX, signaling strong interest.

Analysts predict an 85% likelihood that the SEC will approve spot Solana ETFs by late 2025, a move expected to elevate Solana’s market status and contribute to substantial price gains.

Grayscale, managing $134 million in its Solana Trust since 2021, aims to compete with VanEck and Bitwise as key ETF players. Although the SEC is still reviewing these applications as of January 2025, the pro-crypto stance of the current White House administration and incoming SEC chair Paul Atkins, known for his leniency on digital assets, boosts optimism.

The SEC’s active engagement with issuers adds to the encouraging outlook. Approval of Solana ETFs could unlock new capital pools by making cryptocurrencies accessible through regulated financial channels. With such developments, SOL/USD may surpass its all-time high of $266 and potentially break the $500 barrier if market sentiment remains strong.

Solana Metrics

The term “Ethereum killer” first appeared in media discussions back in 2017. However, Solana’s concern diverges significantly from Ethereum’s. While Ethereum prioritizes settlement and its role as a decentralized financial ecosystem, Solana emphasizes execution, efficient global data transmission, and seamless synchronization, carving out a distinct niche in the blockchain landscape.

• Circulating Marketcap – $100 billion
• Circulating Marketcap Dominance 2.8%
• December 2024 Monthly Trading Volume – Solana led in spot trading volumes in December for the third month in a row, recording almost $112 billion—surpassing Binance Smart Chain, with a $96 billion trading volume and Ethereum’s with around $55 billion
• Annually trading Volume for 2024 – On-chain spot trading volume $451.5 billion
• December Derivatives Trading Volume – On December 30 the monthly Derivatives Trading Volume was $34.1 billion
• User Engagement: Over 105 million monthly active addresses, and around 5 million daily addresses
• Processes up to 65,000 transactions per second (TPS)

Conclusion: Solana Aims for $300 in Q2 and $500 by End of 2025

SOL/USD made a new record high in November 2024 after a major surge early last year, followed by another 200% surge in Q4, closing the year nearly 10 times higher in value.

In December the price retreated but it held above $200 and 2025 has already started positively for this crypto coin which shows that the bullish momentum remains.

Considering the positive momentum in the crypto market, the new SEC chair, the new US administration and the Solana ETFs, buyers will likely remain in charge, so the $300 level seems pretty close, and we might even see $500 by summer 2025.