has been on a bullish run, gaining over 18% in the past week and outpacing larger cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH). As of Monday morning, Solana (SOL) was trading at over $180, marking a new three-month high. This performance has been fueled by increased transactional activity on Solana-based applications and a significant rise in the total value locked (TVL) on the network.
Increased Transactional Activity
The ecosystem is experiencing robust growth, evidenced by a surge in decentralized exchange (DEX) activity, rising daily active users, and growing fee accrual to the network. According to data from DefiLlama, the TVL of tokens on Solana has increased by over 25% in a month, reaching $5.28 billion. The network has been netting over $2 billion in on-chain trading volumes each day for the past week.
ETF Expectations
Expectations of a potential Solana (SOL) ETF are also contributing to the positive sentiment. The Cboe recently submitted filings with the SEC to list VanEck’s and 21Shares’ potential spot Solana ETFs. If approved, these ETFs could attract significant institutional investment, further boosting Solana’s (SOL) price.
Regulatory Optimism
The potential for a more crypto-friendly regulatory environment under a Trump administration is adding to Solana’s (SOL) appeal. Analysts believe that easing regulatory policies could result in Solana and its ecosystem tokens not being viewed as securities, enhancing investor confidence.
