Solana price has bucked the trend as the rest of the cryptocurrency industry struggle. The SOL price is trading ay $50, which is a few points below its all-time high of $52. It has a market capitalisation of more than $13 billion and is the 16th largest cryptocurrency in the world.
Why Solana is rising: Solana is rising as investors bet that its ecosystem will keep rising in the near term and challenge Ethereum. The network, which was founded by Anatoly Yakovenko, a former engineer at Qualcomm is said to be faster and more reliable than Ethereum.
The SOL price is probably rising because of this article by TechCrunch. In the article, Anatoly said that Solana was leveraging both proof-of-stake consensus and proof-of-history. The latter assigns a timestamp for each transaction and disables the ability of bots to manipulate the system. Indeed, hundreds of developers have flocked to the network, which explains why the price of its token has jumped. In a statement, Anatoly said:
“Everything that we do to make this thing faster and faster results in this better censorship resistance and therefore better markets. And price discovery is what I imagine is the killer use case for decentralized public networks. Can we be the world’s price discovery engine? That’s an interesting question to ask.”
Solana price forecast
The four-hour chart shows that the Solana price managed to move above the upper side of the descending channel today. The price is also slightly above the 25-day and 50-day moving averages.
Further, it seems like it has formed what looks like a bullish flag pattern on the chart. Therefore, in the near term, the currency may keep rising as bulls attempt to move above its all-time high at $52. However, a drop below the support at $46 will invalidate this prediction.