Solana Sees Growth in Long-Term Holders Amid Price Corrections, Analysts Predict Further Rallies
Recent developments in the Solana market indicate a strong confidence among investors, particularly with an increase in long-term holders despite a recent price correction. According to Glassnode, the new long-term holders in the 6-12 month range now control 27% of Solana’s supply, suggesting a bullish sentiment as they show less inclination to sell. Meanwhile, the previous long-term holders who entered during the 2021 bull market have decreased their holdings from 48% to less than 5%, possibly completing their profit-taking phase. Solana’s trading price is around $219.9, and analysts remain optimistic, predicting further rallies and a potential price target of $500 by Q1 2025, according to VanEck. This shift in holder demographics could reduce selling pressure, enhancing Solana’s potential for continued gains in the market.
Bullish
The increase in long-term holders despite a price correction indicates strong investor confidence and reduces selling pressure, pointing to a bullish sentiment. The completion of profit-taking by earlier investors, combined with optimistic analyst predictions of significant price gains, suggests continued upward momentum for Solana. Historically, shifts toward long-term holding often precede sustained rallies, supporting a bullish view in both short-term trading and long-term market potential.