Institutional investors continue to show a strong preference for Solana (SOL), which has experienced notable gains in the past 48 hours. This recent surge has sparked optimism among market analysts who believe SOL could be on the verge of an upward trend. With a shift in market sentiment, Solana might see a rise in its value. Historically, Solana hit its highest price of $260 on November 6, 2021. Currently, SOL is trading at around $158.2, 38% below its peak. Recent price action saw SOL touch $164 before undergoing a slight correction.

Will Solana Increase in Value?

Solana has a reputation for outperforming the market during recovery periods. Recent positive price movements, significant institutional interest, and increased on-chain activities have drawn considerable attention. Over the past 24 hours, Solana's market cap soared to $71.3 billion after a 4% rise, positioning it just behind Binance Coin (BNB). Additionally, Solana's 24-hour trading volume jumped by 31% to $3.9 billion, and the weekly price climbed by 5%.

Solana's Price Trajectory and Market Impact

Over the past year, Solana’s price increase has also contributed to a 15% monthly gain, fueling a robust rally among its supporters. The total value locked (TVL) in Solana’s DeFi platforms reached $4.42 billion after a 7.83% increase, with trading volume for the same period surpassing $1.2 billion. Leading protocols on Solana, such as Jito, Marinade, and Kamino, all maintain TVLs exceeding $1 billion. In 2021, Solana gained market attention through NFTs, and in 2024, it is the rise of meme coins that keeps it in the spotlight.

Exploring Solana Meme Coins

Despite the current price of SOL being below its all-time high, interest remains high, partly due to the excitement surrounding Solana meme coins and a potential Federal Reserve rate cut, which could push SOL to a new resistance level. The market value of Solana’s meme coins has seen a 6.4% increase in the past 24 hours, now standing at over $7.5 billion. This upward trend is driven by the introduction of new tokens that offer substantial daily transaction gains. However, investors should be cautious as these meme coins are highly speculative and risky.

In conclusion, Solana's recent performance and the influx of institutional investments suggest a positive outlook for the cryptocurrency. Despite market corrections, the consistent growth in trading volume, DeFi activity, and the popularity of meme coins highlight Solana's potential for further gains. Investors remain hopeful for continued upward momentum in SOL's value.