Solana’s native SOL token made new highs on Sunday and is winning due to increasing network adoption and a major technical breakthrough in US dollars and Bitcoin (BTC).
According to TradingView, the SOL token hit a high of $ 52.42 on Sunday after gaining 24% over the 24-hour trading cycle. This was a new all time high for SOL and the first definitive break above the USD 50 psychological level. As Cointelegraph previously reported, Solana rose to a high of $ 49.99 on May 2 before losing some momentum. The $ 50 goal has been tough to hit in the past two weeks.
At the time of publication, SOL was trading above $ 51.00.
Solana developed positively in 2021. Graphic: TradingView
In terms of current values, Solana has a total market capitalization of 13.9 billion US dollars and, according to Coingecko, ranks 15th in the ranking of crypto market capitalization.
Solana significantly outperformed Bitcoin and Ethereum (ETH) on Sunday as the two largest cryptocurrencies remained subdued after a severe market collapse by Elon Musk, combined with deteriorating investor sentiment. SOL gained 24% compared to Bitcoin and had gained 28% compared to ETH in the past 24 hours.
Bitcoin price barely changed on Sunday. The Ethereum meanwhile fell 3.2%. The altcoin market was declining within 24 hours.
Solana has quickly become one of the most active blockchain networks in the past few months. The network recently made strategic investments of $ 40 million through the Solana Foundation’s grant program to advance its protocols and distributed applications. Since March, more than 50 market-ready projects with a large concentration of DeFi applications have been started on Solana.
As Cointelegraph previously reported, the demand for the SOL token is increasing as more and more Solana-based projects are issuing airdrops to existing users. The search for cheaper Ethereum alternatives has also been cited as a possible reason for Solana’s recent growth in network activity.