Solana price movement: how will the future blockchain upgrade affect the value of the SOL token?

Solana SOL/USD is a web-scale blockchain that is intended to provide quick, secure, scalable as well as decentralized applications and marketplaces. 

The main point of appeal for the Solana blockchain in the eyes of many developers is its ability to theoretically process 50,000 transactions per second (TPS) with a low cost per transaction.

Solana upgrades as a catalyst for growth

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On January 24, we discussed if Solana was a worthwhile buy after the recent crypto market slump and network issues.

Solana Labs’ CEO Anatoly Yakovenko addressed concerns over Solana’s network performance in a Twitter thread on January 25, 2022. 

Yakovenko claimed that upgrades to address the issues would be rolled out throughout the span of the next 4 to 5 weeks and that certain upgrades have already seen implementation.

Yakovenko also diagnosed the spam issues which were caused by the liquidator bots, which barraged single nodes with duplicate messages at a rate of over 2 million packages per second, which revealed a network bug for duplicate processing.

In other words, the duplication could execute too late, after the signature verification, and would take too long to be effective. This is a bug that was addressed in version 1.8.14.

Additionally, there is speculation that the U.S.-based cryptocurrency exchange Coinbase is planning to allow withdrawals of SPL, or Solana Program Library tokens, which is Solana’s alternative to ERC-20.

Note that at this time, this is speculative and that Coinbase has not commented on the topic.

The listing of these SPL tokens would mark a major development towards Coinbase’s token onboarding strategy. Last year, Coinbase’s CEO Brian Armstrong tweeted on June 28, 2021, about their goal to list *every* asset where it is legal to do so.  

Should you buy Solana (SOL)?

On January 27, 2022, Solana (SOL) had a value of $89.80.

To get a better perspective of exactly what this value point means for the SOL token, we will go over its all-time high value alongside its performance throughout the previous month.

The all-time high value of the Solana (SOL) was on November 6, 2021, when the token reached a value of $259.96. This means that at its ATH, the token was $170.16 higher in value or by 189%.

In terms of the value of the token in December, on December 2, the token reached its highest point of value at $242.28.

Its lowest point of value was on December 14, when the token decreased in value to $151.62.

This means that the token decreased in value by $90.66 or by 37%.

With that in mind, Solana (SOL) is a solid buy at $89.90, as it can reach $100 by the end of February 2022.

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