Solana SOL/USD Reached a New All-Time High on Friday Morning, Trading at $264.31 on Coinbase Inc. COIN

This comes two years after the collapse of the crypto exchange FTX, which had sent Solana prices plummeting.

Solana (SOL) Surged to a New All-Time High. Here's What Fueled the Rally

Solana SOL/USD reached a new all-time high on Friday morning, trading at $264.31 on Coinbase Inc. COIN, as per data from TradingView.

This comes two years after the collapse of the crypto exchange FTX, which had sent Solana prices plummeting.

Solana Surged 18% In Past Week, Clocking 160% Rise In 2024

The token gained 18% over the past week, continuing its strong performance in 2024 with a 160% rise since the start of the year.

Solana prices had surged by over 2,000% in 2021 to reach its previous all-time high of $260 in late March.

However, the collapse of Sam Bankman-Fried's FTX in late 2022 had pushed Solana to a cycle low of just under $10.

Solana, the layer-1 blockchain known for its high throughput and low transaction fees, has recovered from the FTX-induced market crash and reached new price peaks.

Several factors have contributed to Solana's impressive recovery, including new exchange-traded fund (ETF) filings for Solana-based products.

Recent filings from Bitwise, VanEck, 21Shares and Canary Capital to launch spot Solana ETFs have added significant momentum to the asset.

Solana Layer-1 Chain Boosted By ETF Filings, Meme Coins, DeFi Activity

Solana is the native token of the Solana blockchain, which serves as a platform for decentralized applications (dApps), ranging from DeFi protocols to non-fungible token (NFT) marketplaces.

Solana's capability to handle high transaction volumes at a low cost has made it a preferred chain for dApp development.

This popularity has been a key factor in solana's (SOL) price rally, especially in the context of the memecoin and DeFi surges.

Solana is known for its vibrant NFT community and serves as the host chain for several popular NFT collections, including DeGods, Okay Bears and Solana Monkey Business.

The手続き簡単なNFT minting process on Solana has facilitated the creation of numerous memecoins, which are typically deployed as solana SPL tokens.

Memecoins have garnered massive retail interest in 2024, with several solana memecoins, such as SAMO and BONK, surging by thousands of percent.

Solana Layer-1 Chain Boosted By ETF Filings, Sol World- solScan Block Explorer

Beyond meme coins, decentralized finance (DeFi) activity on Solana has seen explosive growth.

The total value locked (TVL) on the Solana network has surged more than 500% in 2024, reaching $8.8 billion, as per data from DefiLlama.