Solana rallies 20% against Ethereum, but is $300 SOL price within reach?

Solana’s SOL has rallied more than 20% against Ether (ETH) over the last seven days, and a trader is eyeing a potential breakout to $300, which would mark new all-time highs.

The SOL/ETH ratio, which reflects the value of Solana in Ether, rose to 0.080 on April 13, marking the highest weekly close ever, according to data from Cointelegraph Markets Pro and Binance.

The SOL/ETH trading pair has been forming higher highs on the daily chart since April 4, suggesting an uptrend is underway.

SOL/ETH daily chart. Source: Cointelegraph/TradingView

The SOL/ETH pair gains follow a bullish week for Solana, which has increased by 35% over the last seven days, against a 13% increase in ETH price over the same timeframe.

 “The SOL/ETH chart has just flashed a sign of strength,” said pseudonymous trader Bitcoinsensus in an April 14 post on X, adding:

Previously, the SOL/ETH ratio reached as high as 0.093 in January during a rally in crypto prices fueled by US President Donald Trump’s inauguration, which saw the price briefly notch a new all-time high of $295.

Popular crypto trader BitBull shared a CME futures chart on X that suggests SOL price could break out toward the $300 mark next.

The trader cited Ether’s price consolidation around $2,000 on the CME chart before breaking out to all-time highs in 2021. 

“SOL is now showing a similar structure on the CME futures chart” as it trades with the $120 and $130 range, BitBull pointed out, adding that SOL could follow a similar breakout to all-time highs above $300.

“Just like Ethereum's run in 2021, Solana is setting up for a massive move in 2025.”

SOL CME Futures chart vs. ETH CME futures chart. Source: BitBull

Related: Fartcoin rallies 104% in a week — Will Solana (SOL) price catch up?

Chart technicals aside, several onchain metrics suggest that SOL’s path to new all-time highs faces significant hurdles.

For example, Solana’s network fees dropped more than 97% to $898,235 million on April 14, compared to $35.5 million on Jan. 20.

Solana network daily transaction fees, USD. Source: DefiLlama

The decline in Solana fees aligns with reduced trading activity on Raydium, Pump.fun, and Orca. At the same time, fees have stayed unchanged since mid-February on other decentralized applications, such as Jito, Moonshot.money, Meteora and Photon. 

Similarly, the daily DEX volumes on Solana plummeted to $2.17 billion on April 14, 93% below its Jan. 20 peak of $35.9 billion. 

Solana weekly DEX volumes, USD. Source: DefiLlama

Therefore, SOL’s journey toward new all-time highs will be a tough challenge unless there is a notable rise in network activity.

SOL’s price is up 3% during the past 24 hours to $133 and 54.5% below its Jan. 19 all-time record. 

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.