Solana Targets $600 Amidst Crypto Boom: Analyst Predictions

1. Analysts predict Solana’s bullish run, eyeing $600 amid the current crypto market boom led by Bitcoin.

2. Similar to Ethereum’s past trends, Solana’s potential rise is tied to Bitcoin’s expected prolonged bull run toward $150,000.

3. Solana showcases strong fundamentals with rising TVL and notable on-chain activity.

Independent market analyst Hansolar suggests that Solana (SOL) is poised for a bullish run. It is eyeing a target of $600 in the current crypto market surge driven by Bitcoin. 

Drawing parallels with Ethereum’s historical price trends during bull markets, SOL’s potential upside aligns with Bitcoin’s extended bull run.

Hansolar draws attention to the resemblance between Solana’s potential trajectory and Ethereum’s performance in previous market cycles. 

Using ETH’s surge from $85 to $4,935 in the 2020-2021 cycle as a reference, SOL’s current position, around 50% from its all-time high. This reflects a pattern similar to ETH when Bitcoin was approaching its all-time high.

Bitcoin’s Impact on SOL’s Prospects

The analyst suggests that as Bitcoin aims for $150,000, a prediction by Fundstrat’s Tom Lee, Solana could target $600 as its long-term upside. Moreover, this projection represents nearly a 450% increase from the current SOL price. 

Historically, when Bitcoin achieves new all-time highs, high beta catch-up plays like SOL tend to attract retail interest.

“Currently SOL is at around 50% from ATHs similarly to how ETH was around the 50% mark as BTC was nearing ATHs in the previous cycle.”

Hansolar

Solana’s fundamentals contribute to its bullish outlook. The total-value-locked (TVL) across its ecosystem recently reached 20.51 million SOL, the highest since January 2023. 

Rising TVL, combined with sustained quarter-over-quarter growth, underscores the network’s strength. Notably, Q4/2023 saw a surge of 103% in average daily fee payers, a 961% increase in average daily DEX volume, and a 359% rise in average daily NFT volume.

Technical Analysis and Short-term Targets

In the short term, Solana has its sights set on $200, driven by the formation of a bullish continuation pattern known as a bull pennant on its daily chart. If the price breaks above the pennant’s upper trendline, a 75% increase from current levels toward $200 is plausible. 

However, a breakdown below the pennant’s lower trendline could invalidate the bullish setup, risking a potential 45% drop to around $60.75.