Solana is showing renewed momentum after hitting a seven-month high near $225, and market forces that lifted Bitcoin and Ethereum now appear to be aligning for SOL. Institutional accumulation, ETF proposals and protocol incentives have created a clearer path toward a potential Solana ATH run.
On Wednesday SOL rose about 4% to roughly $225, marking a ~25% gain over the past month. Bitwise CIO Matt Hougan highlighted the familiar recipe behind recent crypto rallies: ETP inflows plus strong corporate treasury purchases. Those same ingredients — now moving into Solana — are why some traders expect an “epic” end‑of‑year push.
Three concrete drivers stand out. First, corporate treasuries are building large SOL positions — most notably Forward Industries’ $1.65 billion private placement earmarked to buy SOL. Second, regulators are reviewing spot and staking Solana ETF proposals, with approvals potentially arriving in Q4. Third, protocol-level token economics and ecosystem actions — like buybacks from leading apps and the upcoming Meteora airdrop — can amplify on‑chain demand.
Related industry moves reinforce the narrative: Avalanche plans a ~$1 billion fund to build AVAX treasuries, and Linea launched its LINEA token (opening around $0.023, ~$1.7B FDV). Meanwhile, Bitcoin ETFs continue to see strong inflows, keeping institutional capital engaged across crypto markets.
That setup is attractive but not guaranteed. Risk: treasury purchases can underwhelm, ETF approvals may draw limited early volume, and protocol incentives might not sustain growth. Crypto markets remain volatile and sensitive to macro data; prior patterns don’t ensure the same outcome for SOL.
What to watch next: net inflows into crypto ETFs, official SEC rulings on spot/staking products, large treasury disclosures, and on‑chain metrics such as exchange flows, staking rates and smart‑contract volumes. If institutional demand and tokenomic buybacks materialize together, Solana could be well positioned for a larger rally.
Source: Decrypt. Read the original coverage for full details.
