Amidst the rising “Solana Killer” in the market, Solana (SOL) witnessed a massive drop. Earlier today, SOL was trading at a high of $135, but this didn’t last long as the altcoin dipped to a low of $130. At press time, SOL was trading at $130.70, with a 1.23% decline in the past 24 hours. This is certainly a slight uptick from Monday’s low of $129.
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Factors Influencing Solana’s Price Surge
Community Optimism And Analyst Predictions
Despite this, the community remains optimistic about the altcoin. An analyst who goes by Joji revealed that $500 was on the cards for Solana sooner than later. According to a recent post, SOL is inching closer to a breakout. Following this, the asset could surge by a staggering 379%. The analyst predicted a future price spike by pointing to an accumulation period in Solana’s historical price chart.
SOL surged 884% from a comparable position during the bull run in 2021, and Joji pointed out that this cycle will repeat. The asset saw an uptick from a similar price level in August 2021 to its November high of $260. Currently, SOL is 49% below this peak.
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Solana Witnesses Major Spike in Active Addresses
According to data from Artemis, Solana’s monthly active addresses have risen to an all-time high. This sign, which has been steadily rising since the beginning of the year, is usually bullish. Currently, there are over 76 million of these addresses, which further highlights a prominent increase from 42 million on September 1.
Additional Factors Impacting Solana’s Price
Multiple factors will impact Solana’s potential surge to $500. The rise in active addresses will certainly aid the altcoin’s growth. In addition, the overall market cap, regulatory climate, and network activity could impact SOL’s price trajectory.
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