Solana Blockchain On Fire, Registers 11% Growth In Just 1 Week

Solana is once again in the headlines, this time for having a major surge in development activity, keeping it ahead of its competition with Arbitrum and Avalanche.

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According to Santiment, the development activity regarding Solana has increased by 10.7% just within the last week, and the signal is clear that developers and projects alike are interested in this space.

🧑‍💻 Looking at full crypto ecosystem development activity provides nice long-term roadmaps as to which are innovating and gaining on the ultra-competitive competition that this sector provides.

As of the first week of October, Solana’s has continued to emerge with a +10.7% rise… pic.twitter.com/Y5hOxJpHJl

— Santiment (@santimentfeed) October 7, 2024

Meanwhile, based on the recent Solana price estimate by CoinCodex, the cryptocurrency might experience a potential increase of 14% by November 9, 2024, and hit the $159 level. Despite the fact that this is a bullish view, the technical numbers suggest that the market is now experiencing a negative vibe. Investors are experiencing a level of worry that is 39 on the Fear and Greed Index.

Although both Arbitrum and Avalanche showcased some positive growth, as well—both 5.2% growth—Solana’s is more significant, which would easily place it ahead of its peers in terms of developers’ involvement and any further growth of the platform anytime soon. Solana’s growing network activity spells that this is now the preferred destination for new blockchain ideas and decentralized applications programs (dApps).

Solana: Surge In Development Activity

More developers are choosing to build dApps, test new features, and deploy the overall functionality of the blockchain on Solana. Now, that’s not only interest but investment in the long-term potential of the platform.

Even without the introduction of new projects in this space, Solana’s ecosystem is already a stand-out through its scalability and speed. New projects on these lines could bring even more promising advancements.

Whether it is transaction speeds or the development of DeFi tools, growth in activity usually presents large-scale improvements that are soon going to hit the blockchain platforms.

Competition With Arbitrum And Avalanche

Things are getting close to the knifing stage as Blockchain platforms continue to fight for dominance. Arbitrum and Avalanche also continued their steady growth rates but, of course, Solana outperforms in this last week and marks its potential as a leader in the near future.

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Regarding investments, things are rather more complicated. Recently, Solana’s price charts displayed a so-called “3 White Soldiers” pattern—a traditional signal of a bearish to a bullish trend reversal. Given macroeconomic elements like monetary policy and the influence of elections on the broader market, this could indicate an upward movement in the near future.

But even when it reaches the level of the positive development and charts, technical indicators are still sounding a cautious note. The Fear & Greed Index, for example, is still at 39, which suggests that investors are still jittery about the market. Solana’s performance in the last month was rather mixed, with only 14 out of 30 days showing positive gains.

Even though the CoinCodex prediction might turn north, the 5.62% volatility depicts that this market is really unpredictable and investors must consider these factors before a premature investment. So far, there’s great momentum for the development of Solana but what this could become in terms of sustained price increases is yet to be known.

Featured image from DL News, chart from TradingView