Since the beginning of 2023, the price of Solana has brought holders a 125.88% profit versus 78% for Bitcoin.
The token has outperformed crypto market heavyweights thanks to bullish catalysts in the form of product updates and the launch of the Saga phone.
Solana's price more than doubled in 2023 and has recovered most of its losses since the FTX crash.
Solana, a project created as an alternative to Ethereum, more than doubled in price in 2023. In terms of profitability this year, the token has overtaken Bitcoin, the largest asset by market capitalization. At the same time, the SOL price has recovered most of the losses incurred as a result of the collapse of the FTX exchange in 2022.
Solana outpaces Bitcoin in 2023
The Solana token brought holders 125.88% profit in 2023. The altcoin has outperformed Bitcoin and several other large market cap assets as its price has more than doubled since the start of 2023.
During the FTX exchange crash in 2022, the price of SOL dropped by 94%. It has since recovered, freeing itself from association with the collapsed exchange and its founder.
Against the backdrop of Solana’s strong growth, the price of Bitcoin has brought holders only less than 80% of the profit since January 1, 2023. During this time, the price rose from $16,000 to almost $30,000.
Bullish catalysts for the Solana rally
The main catalysts for Solana's price growth in 2023 were the development and launch of the Saga mobile phone, Solana's growing NFT ecosystem, and the increasing utility of the blockchain with more DApps joining the network.
These catalysts contributed to the SOL's recovery. Following the FTX crash, the price of SOL fell to $13.25 in November 2022, but returned to $22.49 as of April 2023.
What to expect from the SOL price
Currently, Solana is in an uptrend that started in early 2023. The price of the altcoin more than doubled and peaked at $27.11 in 2023.
At press time, SOL is above the 10- and 50-day exponential moving averages (EMA), with the 200-day EMA at $25.18 serving as immediate resistance for Solana. Other key resistances are the 50% Fibonacci level of the retracement at $23.36, and the 61.8% Fibonacci level, which coincides with the 2023 peak at $27.
As long as SOL price remains above the trend line, the uptrend is expected to continue.
If Solana closes solidly below the trend line, it could sap the strength of the bullish scenario, but SOL could find support at the 38.2% Fibonacci retracement level at $19.74 and around key support at $18.23.
This is not financial advice, you take all risks upon yourself.
