The last week in the crypto market has seen the bulls exhibit major control, with most assets recording remarkable profits. Solana (SOL) has been one of these tokens, having been on an impressive roll lately.
According to data from CoinMarketCap, SOL has gained 18.16% in the last seven days, recording the biggest weekly profit among the top 10 cryptocurrencies in the market.
Solana Price Action
The 10th largest digital coin began the week trading around $20.32. However, following a general market rally, SOL went as high as $23.63 before experiencing a slight re-correction, bringing its price down to $22.55.
Thereafter, Solana soon resumed its bullish course to trade above $25 for the first time since February. Although the altcoin did experience a slight fallback after attaining such heights, current price data shows the token is consolidating and could be preparing for another breakout.
At the time of writing, SOL is trading at a market price of $24.4, having declined by 2.19% in the last 24 hours. According to more data from CoinMarketCap, the token’s daily trading volume hovers around $592.98 million, with the market cap set at $9.57 billion.
SOL trading at $24.41 | Source: SOLUSD Chart on Tradingview.com
What’s Behind Solana’s Rise?
As usual, there is much speculation surrounding Solana’s recent price rally as many wonder what could be pushing this price increase.
That said, the major driving force behind SOL’s market gain could be the general market rally that occurred this week. On Tuesday, April 12, the entire crypto market received a massive boost on news that the U.S. Federal Reserve could soon end its rate-hike cycle.
Based on a report by Bloomberg, analysts believe that the American central bank will first increase interest rates by 25 basis points in May and maintain that level for some time.
However, the Fed is then expected to start cutting the interest rate later this year or in 2024, allowing more people to invest in volatile assets such as cryptocurrency.
Another contributing factor to the price of Solana has been the massive hype surrounding the launch of the Solana Mobile Saga – a crypto-first Android device designed to allow users to interact with their digital assets in an easy and secure manner.
Saga was launched on Thursday, April 13, and it represents the flagship product of Solana Mobile.
Meanwhile, the Solana network has also been attractive in recent weeks to developers. Helium, a highly-rated blockchain broadband project, is the latest protocol expected to join the Solana ecosystem in the coming days
Other projects that have migrated to Solana in recent weeks include the Render Network, Hivemapper, to name a few.