Solana’s investor base is: show unwavering confidence This is because the network recognizes the changing profile of long-term holders. Glassnode on-chain data shows that more Solana addresses are moving into the long-term holder base, indicating strong conviction from investors who entered the market during the recent 2024 rally.
Solana investors hold firm on expectations for price growth
Solana’s gathering Slowdown in the last 7 daysthe cryptocurrency is currently showing a notable correction. As of this writing, Solana is down about 18% from its all-time high of $263.21, a feat it accomplished as recently as November 23rd.
Nevertheless, on-chain data from Glassnode, a leading blockchain analytics firm, suggests that many Solana investors are choosing to hold on to their assets despite sales by other companies. . In particular, the share of long-term holders in the wealth locked in the network is increasing, with 6-12 month holders currently accounting for 27% of total supply.
These holders are often referred to as medium-term accumulators, and they show no tendency to sell in the short term, suggesting continued bullish momentum. Their holding sentiment as recent rally participants shows that the cryptocurrency is attracting new long-term holders as well as short-term holders betting on rapid price increases.
image From X: Glass Node
While new long-term holders have increased their stakes, those who have held the stock for one to two years have sharply declined in the past few months. Data from Glassnode reveals that this group, which accounted for 48% of total supply in June, now accounts for less than 5%.
Most of these were investors from the previous bull cycle, many of whom took advantage of the 2024 rally to lock in profits. Solana’s declining presence in the market suggests that most of the profit-taking by this group has ended and Solana’s supply is now concentrated in the hands of new and optimistic holders.
image From X: Glass Node
What does this mean for Solana’s price increase?
This transition from old long-term holders to new long-term holders signals a change in sentiment surrounding Solana price. As it stands, Solana’s price is under selling pressure from many older holders who were waiting to make a profit.
Supply and demand relations favor further price increases in coming weeks as previous cycle holder sales decline and 2024 bull market stimulates strong HODL behavior among new participants It seems that it looks like. Supporting this fundamental analysis are various technical analyzes of the Solana price that indicate an increase in price.
As of this writing, Solana’s price is trading at $217, down about 4% in the past 24 hours. Nevertheless, the outlook remains bullish, especially as Solana prices remain above $200. According to one technical analysis, Solana is still moving towards its next goal. New high before Christmas. Another Crypto Analyst highlighted interesting patterns That would put the Solana on a journey toward the $4,000 price level.
Featured image from CNBC, chart from TradingView
