Solana has captured its position in the top 10 cryptocurrencies by market capitalization. Now, SOL holds the eighth position following its boom in non-fungible tokens (NFT) and decentralized finance (DeFi).
At the time of writing, SOL trades for $99, and its total market capitalization is $28.30 billion. Solana has outperformed Polkadot (DOT) and captures the eighth position in the market. The chart of SOL depicts that it has surged to 6.64% in 24-hours and its 7-day statistics show that SOL has risen to 35.37%.
SOL boomed after the launch of Degenerate Ape Academy into NFT space which was held two weeks back. It was the debut of NFT sales from SOL but it has sold over 10,000 unique cartoon ape pictures in just ten minutes. As a result, SOL increased in value because people needed to buy the cryptocurrency in order to buy apes.
Significantly, the author of the Not Boring newsletter has mentioned that once users experienced low transaction costs and speed while purchasing SOL, the price surged. This has led to more gains and the chart presents a bullish signal. Following the entry into NFT, SOL has boomed and resulted in a price hike.
Solana Might Hit In NFT And DeFi Platform
The theory of reflexivity or a positive feedback loop seems to be part of an NFT market, according to Amber Group. Moreover, Amber Group states:
“There’s a price discovery, supply crisis and opacity. As a result, price bands are wide, and gap up appears to be the trend for the time being”.
Since the crackdown in the crypto market, many digital-assets have been down for the past few months. But according to Bill Noble, a chief analyst at Token Metrics, SOL won’t stop rising in value.
Noble has mentioned that SOL will hit highs in NFT and DeFi platforms. Moreover, it will reach its long-term target of $126 when the breakout is confirmed. If the trend reverses and follows a bearish signal then it may reach the support level at $70. When the price value crosses below $70 then it might again hold to its old-high $58.