Analysts debate whether Solana will break downward toward $150 or rally upward to $350.
Solana’s application revenue surged 213% in Q4 2024, growing from $268 million in Q3 to $840 million.
Pump.fun, a memecoin launchpad, led Solana’s Q4 revenue growth, posting $235 million, a 242% quarter-over-quarter increase.
Solana price has once again come to test its crucial support at $200 following a 15% drop on the weekly chart. Although SOL has bounced back twice from the $200 support in the past three months, the altcoin is once again standing at a crucial junction in a make-or-break situation for investors.
Solana Price at a Crucial Junction, What Happens Next?
Prominent crypto analyst Ali Martinez has stirred discussions within the Solana community with his latest SOL price outlook. In a message on the X platform, Martinez posed a critical question to traders. “Do you short Solana ($SOL) and target $150? Or do you trust the parallel channel holds and go long to $350?” he asked.
Source: Ali Martinez
With SOL currently trading within a key parallel channel, the debate centers around whether bearish sentiment will dominate or if bullish momentum will prevail.
Crypto analyst Castillo Trading noted that Solana price has shown strong resilience during the current market cycle. As per the technical chart below, SOL has successfully retested its lower limit, maintaining its position despite market fluctuations.
The immediate price targets include the median of the parallel channel and the upper limit, as $SOL holds steady at key support levels.
Source: Castillo Trading
Solana App Revenue Surges 213% during Q4 2024
As per the recent report published by crypto research firm Messari, Solana’s application revenue surged by a staggering 213% during the fourth quarter of last year. The blockchain’s cumulative app revenue surged from $268 million in Q3 2024 to $840 million in Q4, wherein November saw the peak of this growth, with revenues hitting $367 million, just when the Solana price topped $275 levels.
Source: Messari
The impressive gains were primarily fueled by a surge in memecoin trading, which emerged as the driving force behind Solana’s decentralized finance () ecosystem throughout 2024. Meme coin launchpad Pump.fun led the Solana ecosystem’s revenue surge, recording $235 million in Q4 — a staggering 242% increase quarter-over-quarter, according to Messari.
Trailing behind were DeFi trading terminal Photon and decentralized exchange (DEX) Raydium, with Q4 revenues of $140 million and $74 million, respectively. Both platforms also experienced impressive growth, with each posting gaining more than 250% quarter-over-quarter.
“These applications are directly related to the increase in speculation on meme coins and the increase in AI-related coins launched during this quarter,” the notes.