Solana (SOL), the eighth-largest cryptocurrency by market capitalization, has been on a bullish streak despite Bitcoin (BTC) and most altcoins correcting downwards. Yesterday, these gains saw the cryptocurrency trade above $100 for the first time since its launch in March last year.
According to data from CoinMarketCap, SOL started yesterday trading $94.34 and surged as high as $116.85 before closing the day trading at $110.54. Today, bulls are still dominant in the SOL market. As a result, SOL set a new all-time high (ATH) at $120.33 about an hour ago. At the time of writing, SOL has had a slight downward correction but is up 19.45% to change hands at 119.05. This figure also represents a 54.23% gain over the past seven days.
The coin’s current ranking in the list of leading cryptos comes after toppling coins like USD Coin (USDC) and Polkadot (DOT). If SOL maintains this stellar performance, it is set to dethrone Dogecoin (DOGE) as the seventh-largest crypto. At the moment, DOGE is performing poorly after shedding more than 12% of its value over the past week. It is also worth noting that DOGE has a capitalization of $36,199,270,654 while SOL’s market cap is $34,749,647,517.
Factors fueling SOL’s growth
Solana is gearing up to launch an event dubbed Ignition today. While the project did not disclose what this event entails, it released a video showing a flame. As a result, the crypto community predicted that the event, which is slated to run from today to October 8, might be a token burn. Burning SOL would reduce the coin’s current supply, pushing its price higher.
This event has attracted a lot of attention, with on-chain data provider Santiment disclosing that approximately 10% of the conversations in the crypto space at the moment involve Solana. Such discussions are increasingly wooing investors looking for action, and this has helped SOL soar higher.
SOL has also had an influx of institutional investors. According to CoinShare’s Digital Asset Fund weekly report, Solana recorded the biggest cash inflow after netting $7.1 million. Out of these funds, institutional investors contributed $2.7 million. The report further noted that Solana’s Assets Under Management (AUM) had exceeded Bitcoin Cash.
Cardano’s founder Charles Hoskinson also contributed to SOL’s gains after tweeting,
