The crypto market is in the midst of a bullrun, and Solana is leaving the competition far behind. For the first time, SOL is trading above $260 (€243).

The SOL price reached a new record Friday morning, according to data from Coingecko. Solana thus surpassed its previous high of $259 (€242), a record set by the "high-speed blockchain" in November 2021. At the time of writing, SOL stands at $262.28 (€245), an impressive 27% increase from a week ago.

Roller coaster ride to the new record

For Solana investors, the road to this new record was an emotional roller coaster. In November 2022, the FTX crash caused SOL's share price to drop to just $8 (€7.50). Many people then declared the project bankrupt.

Today, however, Solana is seen as the number one challenger to Ethereum. While Ethereum (ETH) has lagged behind Bitcoin (BTC) this year, SOL has caught up with that performance.

Since the beginning of the year, the Solana exchange rate has risen a whopping 139%. By comparison, Bitcoin rose 124%, while Ethereum had to settle for 44% growth. This is according to recent data from Tradingview.

Politics the booster of the Solana rally

The main driver behind SOL's current price rally is Republican Donald Trump's political gains. With Trump as the 47th president of the United States, the US regulator SEC could potentially adopt a friendlier policy for crypto.

A direct reason for the increase of more than 10% in the past 24 hours is the announced resignation of SEC Chairman Gary Gensler on Jan. 20, 2025.

This change is fueling speculation about the adoption of new Altcoin ETFs in the coming year. In addition to Ripple (XRP), Solana (SOL) is seen as a likely candidate for a U.S. Spot ETF - a development that could attract new capital.

As an American I am embarrassed to be beat to market by Brazil.

This admin is winning lawsuits against Big Tech for antitrust, but won't allow open source alternatives to thrive.

No consumer welfare argument you can make to justify that.

Only micromanaging nanny state BS. https://t.co/SBH5LPYo20
— matthew sigel, recovering CFA (@matthew_sigel) August 9, 2024

Solana's ETF debut

Brazil approved the world's first Solana ETF in August 2024. VanEck research director Matthew Sigel responded, "As an American, I am ashamed that Brazil has beaten us in this market."

Want to know what the future may hold for Solana? Then read the following article, "Over $1,000: Could Solana be worth that much?