Solana’s Major Update Ignites Speculation: Can $SOL Reach $300?

• ZK Compression cuts developer costs by 1000X, boosts SOL scalability.
• Solana’s price rose by 73% in 24 hours amid a new ZK compression upgrade.
• Market volatility persists as Fed comments affect broader crypto sentiment.

Solana has rolled out an update for developers, ZK Compression upgrade, leading some to speculate on the price of $SOL to reach as high as $300.

As highlighted on X by Altcoin Buzz, an analytics firm, the new ZK Compression upgrade will drastically cut developer costs and boost network scalability. This major development has already had a positive effect on SOL’s price, which is up 5.73% in the last 24 hours.

ZK Compression: Lower Costs, Higher Scalability

The latest ZK Compression update, now live on Solana’s mainnet, tackles the high costs tied to on-chain transactions and storage. By using zero-knowledge (ZK) proofs to compress data, this upgrade effectively lowers costs while enhancing scalability. This technological leap addresses persistent issues related to state growth, making the network more efficient and able to handle increased demand.

ZK Compression helps lay the foundation for future ZK compute applications on the Solana network. This means that developers can look forward to improvements to applications built on the technology, helping drive added investment into $SOL.

The update has undergone thorough audits by Neodyme and OtterSec, reflecting Solana’s dedication to security and scalability. Furthermore, Solana has established a perpetual bug bounty with Immunefi to ensure continuous security, adding another layer of trust for developers and investors.

Market Volatility and $SOL’s Positive Trend

The FOMC meeting making a 50 basis point rate cut has boosted market sentiment extending to the crypto as well, including Solana.

However, this rally was tempered somewhat by comments made by Fed Chair Jerome Powell, which brought some volatility to the market. These comments hinted at future challenges and led to a change in market sentiment and emerging doubts about future monetary policy.

Read also: Solana Price at Risk as Alameda Unloads $24M in SOL Tokens

Despite these market fluctuations, Solana’s recent advancements have contributed to a positive price trend for $SOL. At press time, the live price stands at $138.45, with significant trading volume reflecting ongoing investor interest.