Solana (SOL) held onto its intraday gains on November. 30 equally Grayscale Investments, the largest cryptocurrency fund in the world, announced that information technology would add together SOL to its production line.

A $300 SOL ahead?

SOL rallied to most $217.50 after rising by over 6.fifty% intraday. The Solana token's gains came primarily as a role of a recovery motility that started Nov. 28, wherein it rebounded over 20% upon testing a undecayed multi-month ascending trendline equally support (near $190), as shown in the chart below.

SOL/USDT daily toll nautical chart featuring Ascending Trendline support. Source: TradingView

The latest bout of ownership near the trendline support also helped button SOL over the 23.6 Fib line (~$204) of its Fibonacci retracement graph, drawn from the $23.22-swing low to the $260.69-swing high. As a consequence, the $260-price level appears like the last line of defense between SOL and a new record high.

"SOL, although, looks like burnout, still $300-something is possible (this flavor)," noted @fomocapdao, an independent market analyst, adding:

"It depends on the whole [ecosystem though], pregnant TVL, NFTs, Tabasco, announcements of announcements."

"Connected appetite" for Solana

Grayscale's decision to add Solana into its service portfolio promised to brand SOL visible across more high-net-worth and institutional investors.

That is primarily considering of Solana's incredible growth equally a blockchain project in 2022. The layer-one protocol emerged as a rival to fellow smart contracts platform Ethereum after providing users with i of the lowest-costing and fastest public ledgers.

Solana blockchain functioning versus others. Source: Reddit

Solana's ecosystem attracted over 500 projects spread across decentralized finance (DeFi), nonfungible tokens (NFT), Spider web iii.0, and other sectors, with 1.2 one thousand thousand active users on the network. Among them is Serum, a decentralized derivatives exchange backed past billionaire Sam Bankman-Fried's FTX and Alamada Inquiry.

As a upshot, the price of SOL, which works as a fee and staking token inside the Solana ecosystem, surged past more than x,700% year-over-year, with its circulating market place capitalization peaking nearly $77.93 billion in Nov.

SOL circulating market capitalization. Source: Messari

At present valued at over $lxx billion, Solana is still the 4th-largest blockchain by marketplace capitalization, with Grayscale CEO Michael Sonnenshein noting that in that location is already a "continued appetite" among investors to gain exposure in the blockchain project.

Related: Okcoin reports altcoins drove institutional interest in crypto for 2022

The statements came after Coinshares, a London-based asset management firm, reported net capital inflows worth over $250 million into the SOL-based exchange-traded products (ETP). This calendar month alone, the Solana ETPs attracted around $42.2 meg, Coinshares underscored in its Nov. 29 written report.

Despite the calls for SOL to striking $300 side by side, the token still faces downside risks due to a few general bug, including excessive valuations on longer-timeframe charts and the possibility of network outages.

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