The price of Solana (SOL) has historically fluctuated between $0.5052 (May 11, 2020) and $260.06 (Nov 06, 2021). Solana is a high-performance blockchain platform designed for decentralized applications and crypto-native solutions, offering fast transaction speeds and low fees.
Solana (SOL) Price: The Historical Development history
The price of Solana (SOL) has historically fluctuated between $0.5052 (May 11, 2020) and $260.06 (Nov 06, 2021). Solana’s price history starts in April 2020. This information is based on the data from Coinmarketcap.
There is no data available about SOL token price development for a very long period of time, as the SOL token was released in the spring of 2020. However, the project has been ongoing for several years. Solana’s white paper was published in late 2017.
After SOL was released, its price peaked at just under $5 in 2020. Despite this Solana, the price remained below $2 throughout the year. Price did not see any major changes in one direction or the other.
The 2021 crypto rally gave a big boost to Solana. In January, 80 percent of previously locked SOL tokens were released into the market.
The price remained below $5 in January and February. By May, the price had already multiplied. At the end of May, Solana reached its all-time high of around $55.
The crypto market saw a big drop in the summer of 2021. This also applied to Solana. However, SOL never crashed to the bottom, as the price stayed surprisingly well on the better side of thirty dollars. SOL fared better than many other cryptocurrency projects with a corresponding market cap.
Coming to the autumn of 2021, a new page in the history of Solana turned. Since the beginning of August, Solana’s price has risen literally like a rocket. At the end of August, SOL passed the $100 mark, and in the first days of September, the price almost doubled from here to $188.
Solana has become the hottest cryptocurrency of autumn 2021. In terms of market capitalization, Solana ranks nicely among the ten largest cryptocurrencies.
In September 2021, Solana received negative attention when its network was down for almost 20 hours. However, this did not cause a major drop in the price of SOL. Overall Solana passed the crisis with very minor damage.
Solana has been an excellent investment for almost every investor. Those who bought tokens in 2020 have increased the value of their investments by several thousand percent.
If you believe the SOL price will bounce back to a new all-time high, check our how-to-buy guide on Solana. It gives you step-by-step instructions on how to buy the SOL token.
What is Solana?
Solana is a high-performance blockchain platform designed for decentralized applications and crypto-native solutions, offering fast transaction speeds and low fees.
Solana was launched in 2017 by Anatoly Yakovenko. Solana’s team is made up of many top talents who have previously influenced the backgrounds of Google, Microsoft, and Apple. Before Solana, Yakovenko worked on decentralized systems.
Solana’s most significant difference from its competitor Ethereum is the Proof of History consensus algorithm. This combined with the PoS consensus algorithm creates a blockchain that provides fast, secure, and affordable transactions. The average price of a transaction is only some dollar cents. This is a big advantage compared to Ethereum’s high transaction fees.
Solana is a combination of new innovations and the best features from other platforms. This makes Solana a competitive and modern smart contract platform that offers older projects a statable challenger.
The Solana platform currently provides hundreds of different decentralized projects, including lending services, decentralized exchanges, and NFT services. New projects are constantly being published.
Solana organized its ICO in March 2020, but most of its $25 million funding was raised from private investors. Solana is still a very recent project and is in the so-called Mainnet Beta phase.
SOL tokens are used to pay for transaction fees on the network. These fees are “burned”, which means removing them from circulation. In theory, this may have a positive impact on the price of the SOL token in the future. At least so far, SOL has been on the rise.
The maximum amount of SOL tokens will be around 489 million. Over time about half of the tokens will be burned. Staking also removes tokens from circulation. SOL tokens currently have annual inflation of 8%, but this is getting lower every year. In the end, inflation will reach an annual level of 1.5%.
For an investor, Solana is a very interesting option. There will be demand for a modern smart contract platform as distributed applications become more common. The 2021 NFT boom has also been likely to boost Solana’s popularity.
On the other hand, the price of the SOL token has grown exponentially, and Solana has already ranked among the top 10 cryptocurrencies. It is difficult to estimate how much growth potential the project has in the short or long term.
Read more about the project from our Solana beginner’s guide.
