Solana (SOL) has achieved a new year-high of $220, marking a major 35% surge over the past week. This sharp price increase has propelled the cryptocurrency to levels not seen in nearly three years. As the momentum builds, market watchers are turning their attention to whether Solana’s rally will continue, with some even speculating that $260 could be the next price target.

Solana’s Meteoric Rise: A 3-Year High

Solana’s recent performance has caught the attention of investors, earning it the status of one of the top-performing altcoins in the current bull market. The token recently flipped Binance Coin (BNB), climbing to become the fourth-largest cryptocurrency by market capitalization. Last Wednesday, Solana approached the $190 mark, but its recent surge took it well beyond that, crossing the long-awaited $200 barrier.

As of this week, Solana’s market capitalization has surpassed $100 billion, a significant milestone that solidifies its position among the top digital assets. The cryptocurrency’s price movement above $200 marks a decisive breakout from a 34-week accumulation zone, where SOL traded within a narrow range of $210 to $110.

A Record-Setting Week for Solana

Solana’s performance over the past week has been nothing short of impressive. The token closed with a 35.6% gain, above the $215 mark, recording its fourth-largest weekly close in history. This surge represents Solana’s highest price in nearly three years, breaking the previous resistance levels set in November 2021.

According to Solana Floor, the cryptocurrency has experienced an extraordinary 291% increase in value over the past year. Just one year ago, on November 11, 2023, Solana was trading at $56. The token has also seen a staggering 1350% surge from its price two years ago, when it dropped to as low as $10 following the FTX collapse.

The rally has ignite significant interest among investors, with many now believing that Solana is well-positioned for further gains. Whale activity, in particular, has been on the rise, signaling a bullish outlook for the altcoin.

Whale Activity Signals Strong Investor Confidence

Recent data from on-chain analytics firm Look on chain suggests that large investors, or “whales,” have been accumulating Solana in large quantities. Since October 22, one whale in particular has been making significant purchases. Over the weekend, this investor bought another 7,500 SOL, worth around $1.57 million, bringing their total holding to 257,599 SOL—approximately $56.6 million at the time of purchase.

This accumulation is fueling the belief that Solana’s price could continue to climb, as these whales may be positioning themselves for higher returns. The trend of whale buying is often seen as a signal of growing investor confidence, and with this latest purchase, Solana’s prospects are looking brighter than ever.

Is $260 the Next Target for Solana?

As Solana continues its upward trajectory, many analysts believe that a new all-time high (ATH) could be just around the corner. With the $200 barrier broken and a strong market sentiment driving the price, some market experts are predicting that Solana could reach $260 in the near future.

Crypto analyst Crypto Horn Hair shared that Solana is in a prime position for “price discovery,” similar to the rally currently being experienced by Bitcoin (BTC). With Bitcoin hitting new highs, including a recent surge to $84,929, many believe Solana could follow suit. The analyst pointed out that there is little resistance to Solana’s price moving beyond $216, meaning it could soon make a run toward new ATHs.

Altcoin Sherpa also weighed in on Solana’s potential, suggesting that the $260 price target could be within reach. Given the recent performance and technical setup, Solana may be poised for further gains.

Technical Analysis Points to $260

Rekt Capital, another market observer, echoed similar sentiments, suggesting that Solana is technically well-positioned to repeat its previous price action. The analyst pointed to the recent “momentous weekly close” and the retesting of the old $202 resistance level, now acting as support. This pattern mirrors past rallies, where Solana made a similar move to $260 after closing at a high level.

“SOL is primed for another significant move,” Rekt Capital noted. “The recent price action has set the stage for a potential surge to $260 over time.” With a solid foundation of support at $202 and a bullish trend in place, Solana appears to be on track to reach its next major price milestone.

Will Solana Continue to Outperform?

As of the latest update, Solana is trading at approximately $219.56, showing a 6% increase on the daily timeframe. With its strong performance over the past week, and the accumulation of large amounts of SOL by whales, it’s clear that Solana is a cryptocurrency to watch. Whether the token can hit $260 or even higher remains to be seen, but the current momentum suggests that Solana’s bull run is far from over.

With Solana’s market capitalization continuing to grow and the token breaking through key resistance levels, the next few weeks could prove critical in determining whether Solana will reach new heights. Investors and analysts alike are watching closely, and many are hoping that the token will soon hit its next target at $260—or perhaps even higher.

Conclusion

Solana’s dramatic rise to $220 has solidified its position as one of the most promising altcoins in the market. With its recent breakout, continued whale accumulation, and strong market sentiment, the cryptocurrency is well-positioned for further gains. As analysts suggest, $260 could be the next target on the horizon. Whether Solana can maintain its upward trajectory will depend on broader market trends, investor sentiment, and the continued support of large-scale investors. For now, all eyes are on Solana as it seeks to push toward new all-time highs.