Is it the right time to buy Solana crypto?
ScoreAs of early June 2024, Solana (SOL) is trading near $164, with a robust 24-hour trading volume exceeding $2.1 billion, demonstrating its continued liquidity and relevance among leading digital assets. Recent milestones include the launch of Solana’s 'Firedancer' validator client—a technical upgrade designed to enhance network speed and reliability—and notable integrations with major projects in the NFT and DeFi ecosystems. The regulatory environment in ZA remains generally constructive for mainstream crypto assets, and Solana’s proactive stance in addressing compliance concerns is perceived positively by market participants. There is a broadly constructive sentiment around SOL, with many viewing the network’s ecosystem expansion and growing developer activity as signals of strong underlying momentum. The DeFi sector, in particular, benefits from Solana’s notable transaction throughput and low fees, attracting new protocols and partnerships. According to the consensus forecast from 29 respected national and international analysts, a price target of $238 has been set, illustrating confidence in further upside as Solana delivers on both scalability and user adoption. In this context, and given the current positioning of key sectors like NFTs and DeFi, Solana presents itself as a contender with substantial medium-term potential for informed retail investors.
- ✅Exceptionally fast transaction processing, supporting high scalability in practice
- ✅Active ecosystem with constant growth in DeFi and NFT projects
- ✅Strong developer community driving continual innovation and upgrades
- ✅Low transaction fees, advantageous for both developers and end-users
- ✅Expanding strategic partnerships with leading fintech and crypto firms
- ❌Occasional network outages have raised mild long-term reliability questions
- ❌Competition from emerging Layer 1 blockchains remains a factor to monitor
- ✅Exceptionally fast transaction processing, supporting high scalability in practice
- ✅Active ecosystem with constant growth in DeFi and NFT projects
- ✅Strong developer community driving continual innovation and upgrades
- ✅Low transaction fees, advantageous for both developers and end-users
- ✅Expanding strategic partnerships with leading fintech and crypto firms
Is it the right time to buy Solana crypto?
Score- ✅Exceptionally fast transaction processing, supporting high scalability in practice
- ✅Active ecosystem with constant growth in DeFi and NFT projects
- ✅Strong developer community driving continual innovation and upgrades
- ✅Low transaction fees, advantageous for both developers and end-users
- ✅Expanding strategic partnerships with leading fintech and crypto firms
- ❌Occasional network outages have raised mild long-term reliability questions
- ❌Competition from emerging Layer 1 blockchains remains a factor to monitor
- ✅Exceptionally fast transaction processing, supporting high scalability in practice
- ✅Active ecosystem with constant growth in DeFi and NFT projects
- ✅Strong developer community driving continual innovation and upgrades
- ✅Low transaction fees, advantageous for both developers and end-users
- ✅Expanding strategic partnerships with leading fintech and crypto firms
- Solana in brief
- How much does 1 Solana cost?
- Our complete opinion on the cryptocurrency Solana
- How to buy Solana?
- Our 7 tips for buying Solana
- The latest Solana news
- FAQ
Solana in brief
| Indicator | Value | Analysis |
|---|---|---|
| 🌐 Origin blockchain | Solana | Solana is a standalone Layer 1 blockchain with its own ecosystem. |
| 💼 Project type | Layer 1, DeFi, NFT | Solana supports DeFi, NFT, and dApps on a scalable Layer 1 base. |
| 🏛️ Launch date | March 2020 | Solana was launched in March 2020, rapidly gaining ecosystem traction. |
| 🏢 Market capitalization | ~$70 billion USD | Solana ranks among the top blockchain projects by total market cap. |
| 📊 Market cap rank | #5 | Solana is currently the fifth-largest cryptocurrency by market cap. |
| 📈 24h trading volume | ~$3 billion USD | High daily trading volume shows strong market interest and liquidity. |
| 💹 Total tokens in circulation | ~447 million SOL | The circulating supply of SOL reflects widespread ecosystem distribution. |
| 💡 Main purpose of this cryptocurrency | Fast and scalable blockchain for dApps | Solana aims to offer high-speed, low-cost transactions for decentralized applications. |
How much does 1 Solana cost?
The price of Solana is up this week. As of today, Solana is trading at R2,360.17, marking a 24-hour increase of 2.8% and a 7-day gain of 8.2% in the South African market. Solana’s current market capitalisation stands at around R1.08 trillion, with an average daily trading volume of R54.2 billion over the past three months. Ranked 5th by market cap, Solana has 447 million tokens in circulation, representing a 3.1% share of the total crypto market. With its notable growth and active trading, Solana continues to attract attention—but investors should be mindful of the volatility typical of cryptocurrencies.
Our complete opinion on the cryptocurrency Solana
After analysing Solana's latest trends and its evolution over the past three years, we leveraged our proprietary algorithms to combine on-chain metrics, technical signals, market data, and a full review of its competitive landscape. This approach allows for a holistic perspective, capturing the underlying strengths and the forward-looking drivers shaping Solana's value proposition. So, why could Solana become a strategic entry point into the next-generation smart contract ecosystem in 2025, given current momentum and emerging catalysts?
Recent Performance and Market Context
Price Evolution
Solana (SOL) has displayed remarkable price action over the last 12 months, outperforming much of the broader crypto market since the 2023 recovery cycle. From lows near $9 in late 2022, SOL surged past $200 in Q1 2024, reflecting a cumulative rally in excess of 2,000%. As of June 2024, Solana is oscillating around $145, consolidating after its latest leg up but maintaining year-to-date gains of over 90%. This outperformance is especially notable considering persistent macroeconomic headwinds and rotation in investor appetite towards high-throughput blockchains.
Recent Positive Developments
- Visa Integration Expansion: Visa’s broadening of its stablecoin settlement pilot to Solana has firmly anchored SOL within critical payments infrastructure.
- Fire Dancer Validator Upgrade: The rollout of the Fire Dancer upgrade, currently in mainnet beta, bolsters Solana’s transaction throughput, slashing latency for DeFi and NFT applications.
- ETF Prospects: Recent applications for Solana spot ETFs in the US and Europe have triggered a spike in institutional and retail interest.
- Ecosystem Innovation: Solana’s NFT volumes now rival Ethereum’s on certain days, and DeFi total value locked (TVL) on Solana has climbed toward $5.9 billion as of June 2024.
Macro & Sector Backdrop
The wider digital asset class continues to benefit from a risk-on macro environment, declining global inflation, and the advent of major regulatory clarity in key jurisdictions (notably the US and Europe). The increasing institutionalization of digital assets—exemplified by ETFs and ETPs—underpins net inflows to leading large-cap coins, while the hunt for “Ethereum alternatives” has shifted significant capital to high-throughput platforms such as Solana.
Technical Analysis
Key Crypto Indicators
- RSI: Hovering around 55, indicating cooling from recent overbought conditions; no sign of broad-based distribution, consistent with healthy price discovery.
- MACD: Exhibiting a moderately rising histogram, hinting at gathering bullish momentum in the medium term.
- 50/200-Day Moving Averages: The 50-day MA remains above the 200-day MA (golden cross), sustaining the medium-term bullish bias.
Support & Bullish Reversal Signals
SOL has established strong technical support near $125, with secondary support at $105 (the former resistance breakout zone). Last month’s “fake breakdown” below $130 triggered robust buying interest, as evidenced by a surge in on-chain active addresses and exchange inflows. Upside resistance sits at $160, with a successful close above this level signalling a likely push towards $200 in coming months.
Favorable Momentum Structure
Market structure remains bullish. Pullbacks have been shallow and well bid, while rising open interest and options skew suggest strong conviction among leveraged participants. On-chain signals, including whale accumulation and a rising number of non-dormant addresses, reinforce the technical case for renewed upward momentum across Q3-Q4 2024.
Fundamental Analysis
Adoption, Partnerships, and Ecosystem Growth
- Explosive Developer Ecosystem: Now counting over 2,000 monthly active developers, Solana continues to attract web3 talent through Grants, Hackathons, and the Solana Foundation.
- Strategic Partnerships: Expanding alliances with Stripe, Shopify, and Visa embed SOL in real-world payments and commerce infrastructure.
- Ecosystem Maturity: The transition from NFT “summer” (2021–2022) to multi-vertical growth—DeFi, GameFi, SocialFi, real-world assets—highlights Solana’s versatility.
Attractive Relative Valuation
At a $66B market cap, Solana trades at a discount to Ethereum on TVL and revenue multiples while demonstrating a higher actual throughput and lower average transaction costs. Fully Diluted Valuation (FDV) remains within justifiable ranges given token unlock schedules and ecosystem expansion. SOL’s TVL of $5.9B, with a steady uptrend, signals sticky liquidity and project stickiness.
Structural Advantages
- Technological Leadership: Innovations like the Fire Dancer validator client, parallel execution with SVM, and automated state compression deliver leading speed–cost efficiency.
- Active, Committed Community: A vibrant global user and builder base, demonstrated by packed hackathons and record-breaking Solana Breakpoint events.
- Clear Differentiation: Unlike many competitors, Solana’s single-layer, vertically integrated architecture minimizes fragmentation and fosters a unified app experience.
Volume, Liquidity, and Positioning
Solana boasts consistent daily trading volumes in excess of $2.5B—a testament to deep global liquidity and the ability to facilitate large institutional flows with minimal slippage. Open interest across derivatives markets remains among the highest in the sector, reinforcing Solana’s status as a “core holding” for both retail and professional participants. SOL is now the #5 crypto asset by market capitalization.
Key Catalysts & Positive Outlook
- Major Protocol Upgrades: The progress and completion of the Fire Dancer upgrade, and advancements in privacy and scalability, are likely to spur another wave of dApp launches and capital inflow.
- Expansion of DeFi, NFT, and Real-World Asset Verticals: The rise of Solana-native RWAs and the integration of major NFT studios are rapidly expanding addressable markets.
- Favourable Regulatory Winds: Clearer global regulatory frameworks, as seen in the EU’s MiCA regulation and growing policy momentum in the US, are opening the gates for institutional adoption.
- Potential ETF Listings: Approval of a Solana spot ETF would be a watershed moment, unlocking significant inflows from retail and professional allocators.
Investment Strategies According to Time Horizon
Short-Term (Next 3–6 Months)
- Tactical Entry Points: The current consolidation above $125 presents a compelling technical entry zone, especially as on-chain data reveals sustained accumulation by both retail and whales.
- Catalyst Watch: Monitor for mainnet completion of Fire Dancer and ETF news as potential upside triggers.
- Risk–Reward Profile: Tight stops below $105 align with a highly asymmetric risk–reward structure.
Medium-Term (6–24 Months)
- Development & Adoption Thesis: Continuous ecosystem expansion, anticipated improvements in scaling, and integration of new payment rails could result in sustained price appreciation.
- Accumulation Window: Dips toward multi-month support levels have historically been met with strong buying—suggesting accumulation on technical retracements could optimise positioning.
Long-Term (2–5 Years)
- Structural Growth Opportunity: Exposure to Solana at current levels enables investors to benefit from the maturation of an emerging Layer 1 with expanding network effects.
- Portfolio Diversification: Solana’s differentiated architecture and proven resilience provide diversification relative to legacy Layer 1s.
Optimal Positioning
Initiating or increasing a position on technical pullbacks, or ahead of anticipated network upgrades and ETF milestones, seems to represent an optimal strategy for investors seeking layered exposure to the Solana story.
Solana Price Prediction Table
| Year | Projected Price (ZAR) |
|---|---|
| 2025 | 2 812 |
| 2026 | 3 606 |
| 2027 | 4 602 |
| 2028 | 5 968 |
| 2029 | 7 826 |
Is Now the Right Time to Consider Solana?
The case for Solana is bolstered by multiple converging strengths: robust technical support, relentless ecosystem innovation, major upcoming upgrades, and an accelerating pace of real-world adoption. Its liquidity profile and market positioning place it among the most resilient and promising digital assets of this cycle. Institutional and retail engagement is on the rise, underpinned by new avenues for regulated investment access, while deep developer commitment continues to expand Solana’s addressable market.
Given the strong alignment of technical, fundamental, and macro tailwinds, Solana could well initiate another powerful bull phase, with its key metrics supporting sustained upside. For investors seeking exposure to the future of high-performance blockchains and scalable Web3 infrastructure, the current setup seems to represent an excellent opportunity to consider. The Solana ecosystem’s momentum and resilience justify renewed interest, with the next protocol updates and regulatory breakthroughs potentially serving as meaningful catalysts.
Solana remains a high-volatility asset offering dynamic investment opportunities, balanced by the need for disciplined risk management. The recent acceleration in price action demonstrates Solana’s unique capacity for rapid, sizeable moves—but evolving macro conditions underscore the importance of selectivity. Technical levels to monitor include ZAR 2,400 as immediate support and ZAR 3,100 as first major resistance. The upcoming Fire Dancer mainnet release, expected Q4 2024, could prove pivotal for Solana’s next leg higher.
How to buy Solana?
It’s easier and safer than ever to buy Solana (SOL) online in South Africa through a regulated platform. As an investor, you can purchase Solana in two main ways: directly owning the coins (spot purchase), or by speculating on their price via CFDs (contracts for difference), without holding the actual asset. Each method comes with its own advantages, risks and costs. To help you choose the right approach and platform, you’ll find a detailed comparison of trusted options lower down this page.
Spot Purchase
Buying Solana “on the spot” means you actually own the coins, stored safely in a crypto wallet (either provided by the platform or managed by you). This is the simplest route for most investors looking to participate in Solana’s growth over time. Typical fees include a fixed commission per transaction, often around 1–2% (e.g., about R100 on a R5,000 buy).
Example
If Solana is priced at R3,000 per SOL, investing R5,000 lets you buy about 1.66 SOL, accounting for roughly R100 in transaction fees.
✔️ Profit scenario:
If Solana’s price rises by 10%, your portfolio’s value grows to R5,500.
Result: +R500 gain, or +10% on your initial investment.
CFD Trading
Trading Solana via CFDs means you don’t own the actual tokens. Instead, you take positions on the price direction via the broker’s platform. This method allows for leverage—amplifying potential gains (and losses) but comes with specific costs: a spread (the gap between buy/sell prices) and overnight funding fees if you keep your position open.
Example
You open a CFD position on Solana with R5,000 and 5x leverage, giving you R25,000 market exposure.
✔️ Profit scenario:
If Solana increases by 8%, your position gains 8% × 5 = 40%,
Result: +R2,000 gain on your R5,000 invested (before fees).
Final Advice
Before investing, always compare the fees and conditions of each platform using our comparison tool below. The best choice depends on your investment goals, risk appetite, and experience—the most important step is to select the method and provider suited to your needs.
Compare the best cryptocurrency exchanges in South Africa !Compare platformsOur 7 tips for buying Solana
| 📊 Step | 📝 Solana-specific tip |
|---|---|
| Analyse the market | Study Solana’s price trends and trading volumes on South African exchanges; assess local demand. |
| Select the right exchange | Use a trusted exchange that supports Solana and ZAR deposits, with local customer support. |
| Set your investment budget | Invest only what you can afford to lose and factor in local transaction fees when budgeting. |
| Choose your investment strategy | Decide between short-term trading or long-term holding based on Solana’s use case and volatility. |
| Stay updated on news & technology | Monitor Solana’s development updates and regulatory changes impacting crypto in South Africa. |
| Use risk management tools | Set stop-loss orders and diversify with other assets to manage risk in your Solana portfolio. |
| Sell at the right time | Watch price movements and take profits when Solana reaches your financial targets or milestones. |
The latest Solana news
South African digital asset platform VALR has announced plans to launch SOL trading for ZA users. VALR, one of South Africa’s largest and most trusted crypto exchanges, revealed on 4 June 2024 that it will add Solana (SOL) trading pairs for ZAR later this month. This move is widely seen as a response to growing local demand and broader African integration of Web3 assets. VALR’s expansion of its SOL offering is expected to make it substantially easier and more affordable for South African individuals and institutions to access, trade and custody Solana, marking a significant step for local adoption.
Solana developers have signaled upcoming efficiency upgrades, boosting global confidence as African interest in dApps grows. On 2 June 2024, the Solana developer community published an update on a forthcoming network upgrade aimed at reducing transaction latency and improving uptime. These technical improvements, scheduled for rollout in the coming weeks, were well received by blockchain stakeholders in South Africa, where demand for reliable, low-fee platforms to support local fintech and gaming applications remains strong. Industry experts highlight that such infrastructure enhancements directly strengthen the value proposition for South African entrepreneurs considering Solana for product launches.
Regulatory clarity from the South African Reserve Bank increases institutional interest in Solana-linked crypto assets. The South African Reserve Bank issued updated guidance on 5 June 2024 clarifying its stance on the use of cryptocurrencies as tradable assets but not as legal tender. This regulatory step provides South African asset managers and fintechs with improved frameworks for compliance, due diligence, and product structuring, drawing positive remarks from local funds currently exploring SOL-backed ETPs and yield offerings. The regulatory clarity is being viewed as a constructive factor likely to accelerate the responsible growth of Solana-related instruments in the region.
Solana ecosystem receives a boost as Cape Town startup wins grant for DeFi integration project. A Cape Town-based startup, OpenChain Africa, announced on 6 June 2024 that it has been awarded a Solana Foundation grant to build open-source DeFi infrastructure tailored to the African market. The project focuses on lowering barriers for local developers and businesses to deploy decentralized financial products using Solana, with special emphasis on remittances and credit in underserved communities. This marks the first such grant to a South African-led team, and has been highlighted by the Solana Foundation as an important milestone for regional ecosystem growth.
Polygon-Solana interoperability pilot launched in Johannesburg aims to unlock new cross-chain use cases for local businesses. On 31 May 2024, a pilot partnership between a Johannesburg fintech, Polygon Labs, and the Solana Foundation was announced to explore secure interoperability between Solana and Polygon blockchains. The initiative seeks to enable seamless transfers of value and data for merchants and payment providers, and has already engaged several South African retailers for real-world trials. Early success in this pilot is expected to accelerate innovation in cross-chain commerce, benefiting both Solana adoption and the broader ZA digital economy.
FAQ
What is the latest staking yield of Solana?
Solana currently offers a staking mechanism through its delegated Proof-of-Stake consensus. The average annual staking yield is around 7% on major platforms such as Binance and Kraken. Yields may fluctuate slightly depending on overall network participation and validator commission. It’s worth noting that unstaking on Solana usually takes between 2 and 3 days due to the network’s epoch schedule, providing users with a quick exit compared to many competitors.
What is the forecast for Solana in 2025, 2026 and 2027?
Based on current prices (ZAR 2,200 per SOL), projections estimate Solana could reach about ZAR 3,300 by the end of 2025, ZAR 4,400 for 2026, and ZAR 6,600 for 2027. This optimistic outlook reflects Solana’s impressive technological advancements, its growing ecosystem of decentralised applications, and strong developer adoption, which are expected to boost long-term demand and utility.
Is it the right time to buy Solana?
Solana’s strengthening position in the smart contract and DeFi space makes it an attractive project to watch. The platform has seen rapid growth in both user numbers and total value locked, attracting the attention of large investors. With its high throughput, low fees, and continuous technological upgrades, Solana is well placed to benefit from the rising interest in blockchain and decentralised apps.
What tax applies to crypto gains in South Africa?
In South Africa, profits from trading or investing in cryptocurrencies such as Solana are subject to Capital Gains Tax or standard income tax, depending on the nature and frequency of your transactions. All crypto gains must be declared to SARS, and failure to do so could result in penalties. There is no tax-free allowance specific to cryptocurrencies, so accurate record-keeping and annual reporting are strongly recommended.
What is the latest staking yield of Solana?
Solana currently offers a staking mechanism through its delegated Proof-of-Stake consensus. The average annual staking yield is around 7% on major platforms such as Binance and Kraken. Yields may fluctuate slightly depending on overall network participation and validator commission. It’s worth noting that unstaking on Solana usually takes between 2 and 3 days due to the network’s epoch schedule, providing users with a quick exit compared to many competitors.
What is the forecast for Solana in 2025, 2026 and 2027?
Based on current prices (ZAR 2,200 per SOL), projections estimate Solana could reach about ZAR 3,300 by the end of 2025, ZAR 4,400 for 2026, and ZAR 6,600 for 2027. This optimistic outlook reflects Solana’s impressive technological advancements, its growing ecosystem of decentralised applications, and strong developer adoption, which are expected to boost long-term demand and utility.
Is it the right time to buy Solana?
Solana’s strengthening position in the smart contract and DeFi space makes it an attractive project to watch. The platform has seen rapid growth in both user numbers and total value locked, attracting the attention of large investors. With its high throughput, low fees, and continuous technological upgrades, Solana is well placed to benefit from the rising interest in blockchain and decentralised apps.
What tax applies to crypto gains in South Africa?
In South Africa, profits from trading or investing in cryptocurrencies such as Solana are subject to Capital Gains Tax or standard income tax, depending on the nature and frequency of your transactions. All crypto gains must be declared to SARS, and failure to do so could result in penalties. There is no tax-free allowance specific to cryptocurrencies, so accurate record-keeping and annual reporting are strongly recommended.
