New Solana HODLers Hold Control Over a Quarter of SOL

• Solana investors hold 27% of the supply, showing strong confidence.
• Solana’s price could rise to $500 in 2025, depending on market conditions.

As 2024 comes to a close, Solana (SOL) has witnessed a significant shift in investor behaviour, with a growing number of holders adopting a long-term strategy. SOL holders who bought in the past six to twelve months now hold 27% of the total supply, indicating a bullish price action for the cryptocurrency going into 2025.

Rising Confidence Among Recent Investors

Glassnode statistics show that most of the Solana was accumulated in 2024, while the 6-12 months holding category still holds 27% of the circulating supply. This trend is a clear departure from the earlier holders, where Investors belonging to the 1-2 year cohort have scaled down their holdings. In June 2024, this group owned 48% of the total supply, which is now less than 5%. That is because those who invested during Solana’s earlier price booms are exiting, while fresh entrants are more confident about the altcoin’s long-term prospects.

Solana RHODL Waves. Source: Glassnode

Here, one can find more evidence that many newcomers to the stock market retain their values, thus indicating future price increases. Realizing this extent of optimism and committing to continuing this buying throughout the remainder of 2024 might be the catalyst for a more secure market with less supply pressure in the next couple of months.

Price Outlook: Potential for Strong Gains in 2025

Solana is having bullish signals on technical indicators. The altcoin has created a bull flag pattern, which usually signals that the prices are headed North. After a significant increase, the key token had a correction to create the flag, the upper line of which may act as a breakout line. Should Solana manage to climb past the $219 level and cut through the upper Bollinger Band, it could fix its sights on $290 before the year 2024 draws to a close.

Solana Daily Analysis. Source: TradingView

According to analysts in a bullish forecast, SOL’s price might peak at $500 in 2025, provided there is more investor sentiment and favorable market trends. Nonetheless, if the industry trends are unfavorable or the investor’s sentiment declines, it may.go back to its base price of $189.36, which constitutes the downside analysis.

Long-Term Holding Trend Could Support Continued Growth

The basic investors’ turn to longer-term ownership is an encouraging sign for Solana’s future, further strengthened by a high proportion of such investors. Because fewer people are selling the token, there may be less volatility, which can slow expansion into next year. As confidence in the network’s growth grows, the situation for Solana remains favourable if the market trends remain friendly.

Solana RHODL Waves. Source: Glassnode

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