Trump token launch driving SOL to $300?

Solana price hit a new all time high of $275 on Sunday January 19, after Donald Trump launch of the $TRUMP token on the network sparked 25% gains within 24 hours. On-chain data shows the SOL blockchain network attracting an unusually high number of new entrants as bulls target further price discovery.

Trump Token Launch Drives Solana price to All Time High

Solana (SOL) has emerged as the standout performer in the cryptocurrency market ahead of Donald Trump’s inauguration. While Solana had maintained a bullish outlook throughout the past week, the rally significantly accelerated following the announcement of the $TRUMP meme token, hosted on the Solana network.

Investor enthusiasm for the $TRUMP token has translated into a surge in demand for SOL, as it is the prerequisite native coin for the Solana ecosystem.

The $TRUMP token’s rapid rise—gaining over 3000% within 24 hours—has directly bolstered Solana’s bullish price momentum. As of Sunday, January 19, Solana reached a new global all-time high of $275, with its price consolidating above $270 at press time.

This remarkable SOL price rally marks a 51% gain over the last six days, extending Solana’s winning streak and solidifying its status as the best-performing cryptocurrency among the top 20 ranked digital assets in 2025.

Having added over market capitalization soaring by more than $75 billion in the past week, this establishes SOL as the most in-demand digital asset in the build up to Trump’s inauguration.

If Trump’s administration enacts crypto-friendly policies, as many investors speculate, Solana could see continued long-term gains, potentially strengthening its market dominance.

New users execute 5.3 million SOL transactions after $TRUMP token launch

Solana’s 25% rally on Saturday was largely driven by speculative demand from traders anticipating short-term gains from Trump’s decision to launch his $TRUMP token on the Solana network.

However, on-chain data shows that SOL also received significant organic demand from new users who joined the Solana network after the $TRUMP token was launched for trading.

Emphasizing this narrative on-chain data from HelloMoon chart below presents the number of transactions executed by newly-created SOL wallets on a given day.

The chart above shows that first-signers executed 5.32 million transactions on January 18, coinciding with Trump’s token launch. Notably this is the second-highest number of new user traction the Solana blockchain network has recorded since December 17.

According to Forest Bai, co-founder of crypto investment firm Foresight Ventures, there is growing optimism that the market rally could advance further after Trump’s inauguration.

“I had expected he might use a range of measures—like lowering interest rates, establishing national reserves, encouraging businesses to buy crypto, or introducing crypto-friendly policies. But in the end, Trump chose the most direct approach: launching a memecoin, which immediately brought in millions of new users.”

• Forest Bai, co-founder of crypto investment firm Foresight Ventures

When a cryptocurrency’s price surge is accompanied by a significant increase in new user transactions, it creates positive sentiment for two key reasons.

First, it signals that Solana’s price rally is driven by fresh, organic demand rather than over-leveraged speculative buying, which often leads to rapid price corrections. Secondly, the sharp increase in SOL demand from new users helps absorb the rising supply, which could be pivotal to holding key price support levels during consolidation phases.

Solana Price Forecast: $300 breakout in sight?

Solana price forecast chart is hinting at a steady consolidation above $265 after reaching a local peak of $275. This comes after a breakout from a falling wedge pattern, a typically bullish setup. The daily chart shows a robust increase in trading volume and a rising Bull-Bear Power (BBP) indicator, both pointing to strengthened buying momentum. The successful breakout above $232.36, the falling wedge’s resistance, validates the pattern’s bullish implications.

In a bullish scenario, sustained buying pressure could push SOL toward the next psychological resistance at $280. If SOL closes decisively above this level, it could trigger a breakout to $300, aligning with the measured target of the wedge pattern.

The rising volumes and increased transactions from new users also supports this outlook, signaling strong buying support.

Conversely, a bearish reversal remains possible if buyers fail to maintain control above $266. In such a case, SOL risks revisiting the $234.18 support zone, which aligns with the wedge’s breakout level. The BBP’s steep rise could indicate short-term overbought conditions, warranting caution. A close below $232.36 would invalidate the bullish setup, exposing SOL to further downside toward $168.88.

With trading volumes signaling oversupplied, Solana price appears poised for another potential sharp move in either direction. It remains to be seen if Solana traders will take profits after Trump’s inauguration or if further crypto-friendly comments from the inauguration speech could spark further gains.

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Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.