Solana (SOL) token holders have something to smile about today. SOL is showing strength, rebounding above the $100 level after a five-hour network outage two days ago had investors worried that a deeper pullback would follow.
SOL’s price recovery is in tandem with a crypto-wide rally, with Bitcoin, the oldest and largest cryptocurrency, gaining over 5% over the past 24 hours to top $45,000.
SOL Pushes Back Above $100
Solana’s SOL token is on a tear today. SOL, which had slumped below $94 after a major network outage on February 6, has since recovered all that loss.
The bounce is especially notable for SOL investors, serving as a breath of fresh air after the network suffered an approximately 5-hour outage on Tuesday, which one blockchain validator described as “performance degradation.”
The price of SOL was hovering around $104.68 at publication time, an 8.9% jump on the day. SOL is the fifth-largest cryptocurrency at a market capitalization of approximately $44 billion. The Solana network had gone for nearly a year without experiencing any downtime before Tuesday’s disruption, which marks an impressive feat given its historic jankiness.
The Solana blockchain went live on mainnet beta in March 2020, focusing on delivering scalable solutions for a decentralized ecosystem rivalling Ethereum with faster transaction times and negligible costs. It is often touted as one of the blockchain networks with the most exciting developer communities.
Solana has proven its resilience after the failure of one of its principal backers, Sam Bankman-Fried. Nevertheless, the SOL price has been trading sideways in recent weeks as it attempts to breach the $104 resistance.
Solana Bullish Continuation In Sight?
Market watchers think Solana is on the cusp of a bullish breakout. Former BitMEX CEO Arthur Hayes has recently expressed his support for SOL, noting that “it is time to get back into the Solana train.” This optimism is, in part, due to the token’s solid fundamentals amid an explosion in activity in recent months.
Solana Mobile is now preparing to launch a second Saga phone, which will come with different hardware and a cheaper price point than its predecessor. There has also been speculation that Solana will get a spot exchange-traded fund in the future following Franklin Templeton’s bullish comments.
The likelihood of SOL breaking past the $104 barrier in the near term and rallying to the $200 mark remains an open question, given that Solana still has to prove itself as a reliable network with 100% uptime.