Solana (SOL) reignited market enthusiasm again today (22), surging over 12% earlier and briefly breaking the $200 barrier.
According to CoinGecko data, SOL reached a peak of $203.5 today, setting a new high since February of this year. As of the time of writing, the increase has converged, reporting $197.33, up 4.6% over the past 24 hours.
Vincent Liu, Chief Investment Officer of Kronos Research, stated that the $200 price point not only symbolizes a technical breakthrough but also signifies an important psychological barrier indicating 'investor confidence restored' and 'enhanced market liquidity.' He said:
After SOL breaks this barrier, it usually attracts more buying interest and often lays the bullish foundation for subsequent upward trends.
Market analysts pointed out that SOL's recent surge is mainly driven by a series of positive factors interwoven together. LVRG Research Director Nick Ruck mentioned that the Block Assembly Marketplace (BAM) recently launched by the Jito Foundation is one of the behind-the-scenes drivers.
It is reported that the Block Assembly Marketplace (BAM) is a new high-performance block construction framework designed for Solana, aimed at bringing transparency and verifiability to transaction ordering, opening up more programmable innovations for on-chain applications, introducing new revenue models, while effectively reducing the negative impact of maximum extractable value (MEV).
Nick Ruck stated, 'Investors are optimistic about Solana; BAM will significantly enhance Solana's transaction efficiency while improving privacy and flexibility.' He added that even as the meme coin craze cools down, the Solana ecosystem continues to have developers deeply engaged in construction, and the market generally believes SOL is undervalued.
On the other hand, Vincent Liu also mentioned that Solana's strength is benefiting from DeFi Development Corp (DFDV) recently announcing it raised $19 million and simultaneously increased its holdings of 141,383 SOL, bringing the total to 999,999 SOL, indicating that institutional funds are still actively positioning.
At the same time, new narratives are also developing in the market. There is optimism that the U.S. Securities and Exchange Commission (SEC) will approve the listing of the Solana spot ETF in October this year. Vincent Liu emphasized:
As the deadline for the U.S. review of the Solana ETF approaches on October 10, market optimism continues to rise, liquidity is clearly recovering, and price momentum is rapidly strengthening, driving competing coins to lead the rally.
In contrast, Bitcoin showed some fatigue today, slightly retracing 0.65% to $117,182; Ethereum (ETH) and Ripple (XRP) both increased by about 1%. Bitcoin's market share further slid to 60.6%, down 7.5% from a month ago.
"Solana surges over 12% to break $200! Analyst: Market confidence reignited, liquidity recovers" was first published on (Blockke).
