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Solana News Today: Solana's Rally and Waning Retail Excitement: Is the $500 Mark Achievable?

Solana News Today: Solana's Rally and Waning Retail Excitement: Is the $500 Mark Achievable?

Bitget-RWA2025/10/24 20:40
By:Bitget-RWA

- Solana (SOL) gains traction with analysts predicting a potential $500 rally driven by surging on-chain activity and institutional interest. - Network metrics show 780K+ daily active addresses and 270B+ transactions, while DeFi TVL rose 18% QoQ despite 19% retail address decline. - Institutional inflows and sub-second finality ($0.00025 fees) contrast with waning retail demand and $8.64B futures open interest drop from $15B peak. - Corporate moves include restricted share sales and Gemini's 4% SOL-reward

The

(SOL) ecosystem is once again in the spotlight as both analysts and investors discuss the possibility of prices reaching $500, fueled by increased on-chain activity, growing institutional involvement, and strategic advancements. Despite ongoing short-term fluctuations, the prevailing sentiment is that Solana could become a frontrunner in the Layer 1 blockchain rebound, as long as it maintains strong technical performance and adoption rates.

Solana News Today: Solana's Rally and Waning Retail Excitement: Is the $500 Mark Achievable? image 0

Recent figures show a notable increase in Solana’s network usage, with daily active addresses surpassing 780,000 and total transactions exceeding 270 billion, according to a

. This momentum is supported by institutional capital, as prominent companies and ETFs expand their holdings in Solana’s high-speed network. The Total Value Locked (TVL) in Solana’s DeFi sector has climbed 18% quarter-over-quarter, largely thanks to platforms such as Jupiter and . Experts credit this to Solana’s rapid transaction finality and minimal fees (just $0.00025), which remain attractive compared to competitors like and .

However, there are signs that retail participation is slowing. Data from DefiLlama indicates a 19% drop in active addresses over the last five months, with weekly averages now at 15 million, down from 33.63 million in May, as reported by an

. This decline has sparked concerns about ongoing network engagement and developer morale, especially in the DeFi and coin markets. At the same time, open interest (OI) in SOL futures has decreased to $8.64 billion from a previous high of $15 billion, indicating less speculative trading.

Solana’s corporate landscape is also shifting. The Solana Company has recently launched a private resale window for early investors to sell restricted shares from its $500 million fundraising round, according to

. Although this led to an 11% drop in HSDT stock, the initiative is intended to broaden liquidity and better align equity exposure with Solana’s long-term outlook. This approach moves price discovery from token markets to public equity, giving investors indirect access to SOL without direct ownership.

On the product side, Gemini has introduced a “Solana edition” crypto credit card, offering 4% rewards in SOL, as noted in a

. Additionally, the Solana Foundation has teased a significant announcement for October 20—likely a debit card—which has sparked short-term enthusiasm. Regulatory progress is also underway, with Kristin Smith from the Solana Policy Institute preparing to discuss crypto policy with U.S. legislators.

From a technical perspective, SOL is currently trading near $186, consolidating between support at $181 and resistance at $212. Institutions are accumulating within this band, and a breakout above $212 could set off a move toward $244–$252. Long-term outlooks remain positive: analysts expect an average price of $325 in 2025, with potential highs of $400 and $500 if adoption and DeFi expansion continue, according to a

.

Nonetheless, there are risks. If SOL fails to hold above $181, it could revisit $175, while broader economic uncertainty and tighter liquidity could present challenges. Network slowdowns during peak NFT usage and regulatory developments in the U.S. and Asia will also influence Solana’s path forward.

While Solana remains at the forefront of Layer 1 discussions, projects like Remittix (RTX) are making headway with practical payment solutions, focusing on international transfers and low-cost settlements, as highlighted in industry reports. Still, Solana’s core strengths—speed, a robust developer community, and institutional support—make it a pivotal force for wider blockchain adoption.

At $186, Solana is trading 37% below its January 2025 peak but continues to be underpinned by strong fundamentals. With the upcoming Alpenglow upgrade set to boost scalability and increasing institutional interest, reaching $500 will depend on sustained network activity and stable macroeconomic conditions. Analysts remain cautiously optimistic, though it’s important for market watchers to keep an eye on liquidity shifts and regulatory news as key factors.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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