Solana Awaits ‘Alpenglow’ Upgrade, Targeting $240 Breakthrough
Solana (SOL) is holding up well in a market that is changing a lot. It is trading above $198, which is only a 2.3% drop in the last 24 hours
Quick overview
- Solana (SOL) is currently trading above $198, showing resilience despite a 2.3% drop in the last 24 hours.
- The upcoming Alpenglow protocol upgrade, which aims to significantly reduce transaction finality time, is expected to enhance Solana's long-term prospects.
- Technical analysis suggests a bullish continuation pattern for SOL, with key resistance levels at $216.5, $220, and $240.
- Market dynamics and strong fundamentals support an ambitious price target of $360, contingent on maintaining support above $200.
Solana SOL/USD is holding up well in a market that is changing a lot. It is trading above $198, which is only a 2.3% drop in the last 24 hours. This drop may worry short-term traders, but the underlying fundamentals and technical setup imply that SOL has a lot of room to grow, with analysts looking at goals between $240 and $360.
Alpenglow Protocol Poised for Historic Implementation
The Alpenglow protocol upgrade’s almost inevitable acceptance is the biggest thing that will help Solana’s long-term prospects. With more than 99.6% of votes cast in favor and with two days left in the governance process, this upgrade is being called “the biggest protocol upgrade in Solana’s history” by members of the ecosystem.
Alpenglow says it would cut the time it takes for transactions to be final from 12.8 seconds to just 150 milliseconds. This is over a 100-fold improvement that would make Solana’s performance the same as Google’s search results (around 200ms). This huge improvement would not only be better than competitors like Sui (400ms finality), but it might also lead to new uses outside payments, gaming, and regular DeFi.
The upgrade has two main parts: Votor, which handles voting transactions and tries to finish blocks in one round with 80% stake involvement, and Rotor, which is a data-sharing protocol that replaces Solana’s proof-of-history system. These changes could make blockchain technology useful for real-time apps that were mostly run on Web2 infrastructure before.
SOL/USD Technical Analysis Points to Bullish Continuation Pattern
Even if SOL has dropped from its multi-month high of $218 in August, technical analysts still think it will go up. RLinda, a crypto expert, says that the present price action is “stronger than the market.” She points out that Solana’s ability to stay over $200 after reaching $218 shows that there are a lot of buyers.
The fact that prices are making higher highs and higher lows means that selling pressure is going down. RLinda sees a key liquidity test zone between $202.5 and $195.3. However, she thinks the bullish view will stay strong as long as SOL holds the psychological $200 level.
$216.5, $220, and finally $240 are important levels of resistance. If the price reaches $240, it will be a new high since January. There are support levels at $202.5, $198, and $195.3, which gives buyers a lot of chances to buy when prices go down.
Ambitious $360 Price Target Gains Credibility
Ali Martinez, a well-known expert, is more hopeful and thinks that Fibonacci extension levels could help SOL reach $360. This goal is ambitious, but there are good reasons to believe it can be reached, such as strong fundamentals and institutional interest in the Solana ecosystem.
There are three intermediate goals on the way to $360: $250.26, $277.18, and $320.99. The important $250 level is a technical and psychological milestone that might cause a lot of retail FOMO if it is broken convincingly.
Market Dynamics Support Bullish Thesis
Glassnode’s most recent on-chain data shows that Solana investors made more than $911 million in profits when SOL broke above $210. This suggests that a lot of people took profits, which has probably passed overhead barrier. This good allocation to early investors generally comes before long-term rallies, when weak hands are shook out.
In the past, when prices broke over $200, they quickly fell down below $180. This time, however, support has held above the crucial psychological level, indicating a more stable and long-lasting increase.
Network Improvements Address Historical Concerns
Alpenglow won’t totally fix Solana’s past network problems, which were caused by depending on a single production-ready client called Agave. However, the launch of the independent Firedancer validator client later this year should help the network become more diverse.
Conclusion: Positioned for Breakthrough Performance
SOL is in a good position for a big price increase because of Solana’s breakthrough technical advancements, excellent chart patterns, and better network infrastructure. The key goal right now is to protect the $200 support level. However, if Alpenglow is successful, it might start a rally toward $240 in the near future. If the broader crypto market stays strong, more ambitious targets of $360 are also possible.
The most important danger is still a breach below the $176-$185 support zone, which would make the current bullish position meaningless. With 99% approval for major infrastructure enhancements and institutional funding continuing to flood into the ecosystem, Solana looks like it will do better than the rest in the next several months.
- Check out our free forex signals
- Follow the top economic events on FX Leaders economic calendar
- Trade better, discover more Forex Trading Strategies
- Open a FREE Trading Account
Save