On Friday, Solana’s price surged significantly, marking its highest level since January, driven by increasing demand for digital assets.

Key Points:

• The price of SOL rose 5% in the last 24 hours, pushing its weekly gain to 18%.
• Galaxy Digital withdrew $724 million in SOL tokens from exchanges, likely in connection with Forward Industries’ treasury strategy.
• Demand from treasury companies and the anticipated launch of SOL ETFs may elevate Solana’s market appeal, according to Bitwise’s Chief Investment Officer.

Solana experienced a notable uplift, trading near $240 as investor interest in treasury assets began to materialize. The price increase came as Galaxy Digital removed approximately 3.1 million SOL tokens from exchanges, primarily Binance and Coinbase, totaling around $724 million. This data was supplied by Arkham Intelligence.

The transaction may relate to Forward Industries, which recently managed to raise $1.65 billion to bolster its Solana treasury. Galaxy was a significant backer of this funding drive, and its asset management team is set to oversee these funds.

Continued Momentum

Analysts believe Solana may sustain its upward trend. Matt Hougan of Bitwise previously forecasted that incoming treasury demands and spot ETF prospects could substantially influence the price of SOL, which has a smaller market capitalization compared to Bitcoin and Ether.

Mike Novogratz, CEO of Galaxy, shared similar sentiments during an interview, suggesting we may be entering a ‘season for SOL.’ He highlighted the forthcoming Solana treasury company from crypto investment firm Pantera and the potential approval of SOL ETFs, which could trigger new investments into the cryptocurrency.

For more insights, see: ‘The Ingredients Are All There’: Solana May Be Set to Soar, Says Bitwise