Solana investors HODL amid bullish expectations: Glassnode

Although Solana has pared gains since hitting a new all-time high above $263 in November, long-term investors are increasingly bullish.

While hodlers are doubling Solana (SOL) prices, Glassnode notes that the recent selling pressure is coming from recent bull market holders. This is a group of one- to two-year buyers who are likely opting to take profits as Solana continues the post-US election rally in crypto to the current bull cycle peak.

“The 1-2 year group has decreased steadily; It’s down from 48% in June to just under 5% now. These were investors from the previous bull run who profited greatly during this year’s rally. For now, those who want to sell SOL have probably already sold,” he wrote on platform X.

According to Glassnode, Solana investors have largely turned into hoarders as they try to catch a new high. The expectation of higher prices can be seen mainly through on-chain metrics for long-term SOL holders.

Analysts at Glassnode noted that this group “increased the share of wealth locked in the network,” with new holders among six- to 12-month holders increasing their positions to 27% of SOL supply. According to the on-chain and financial metrics provider, this jump shows that buyers who entered the market during the 2024 crypto rally are convinced.

Solana’s realized value HODL waves chart shows how long SOL holders hold coins in their wallets before spending them.

Solana surpasses Ethereum in DEX volume

The positive outlook for Solana comes as smart contracts blockchain increases its dominance over decentralized exchange volumes.

SOL’s market share in DEX volume across all chains has outpaced Ethereum and other chains for 10 weeks. Meanwhile, Solana leads Ethereum in terms of new developers in 2024. Data shows that Solana has surpassed the world’s top altcoin network’s eight-year run as the top platform for new developers.

Crypto-focused early-stage venture firm Electric Capital said in its report that Solana has signed up 7,625 new developers so far, which is higher than Ethereum’s year-to-date tally of 6,456.