KOL Perspective: Why Will SOL Rally at This Price Level?

Author: gum

Translated by TechFlow

Here’s why SOL is poised to rally—because no one’s talking about it:

It has just broken out of a four-month consolidation phase.

The main reason it’s breaking out now—not one month ago—is that SOL is the canary in the coal mine for crypto health. It’s the token that signals risk appetite in crypto. The current move is pricing in the return of risk-on sentiment.

Strong hands have reasserted control over the token, while traders and speculative capital have abandoned it—causing trading volume to plummet. Any meaningful increase in volume will catalyze upward momentum.

Strong institutional adoption, plus integration with DeFi and RWAs (@onrefinance, @PreStocks, @xStocksFi, @HastraFi); the Clarity Act stands to benefit Solana and $SOL most.

Solana has been the most volatile asset in crypto over the past four years—it fell 70% from its all-time high (ATH), yet still rose 12x from the bear market bottom.

It was one of the few tokens to hit a new ATH in the last cycle—and remains the only blockchain with a robust ecosystem of applications, users, protocols, and real-world use cases.

Its volatility has bred a large cohort of $SOL holders who lack conviction and chase momentum alone. I believe the price action over the past few months reflects a structural shift in token ownership—from short-term holders, traders, and tourists—to long-term accumulators.

The Miami Accelerate conference marked a public inflection point around AI on Solana, so I expect a significant influx of top-tier AI developers next year.

Memecoins will continue to thrive on Solana. No chain is better suited for them. You might disagree given Asteroid—but even a single day of on-chain volatility causes transaction fees to spike sharply, just as they always have.

Even if market participants pay high fees, they’ll still face the same type of users/traders native to Solana—and may finally realize Solana merely enabled the mass proliferation of memecoins, which demands products tailored to this audience, such as Axiom and trading bots.