Jim Cramer Said You 'Shouldn't Hold' Solana When It Traded At $11 In 2022—Now It's Trading At $166

Solana (CRYPTO: SOL), launched in March 2020, has risen more than 15-fold, driven by a robust ecosystem supporting various meme coins.   

What Happened: In 2022, Jim Cramer labeled Solana and other tokens like Litecoin as "idiot investments" on CNBC. At that time, Solana traded at $11 with a market cap below $5 billion. Today, it's trading around $166, with its market cap surging to $82.5 billion.

Solana has gained 304% in the last year, reaching a cumulative return of 20,049%, surpassing Bitcoin’s 103% rise over the same period.

According to CoinGecko, the Solana meme market cap is currently around $11.4 billion, though it has seen a 3.4% dip in 24 hours. Popular tokens in this sector include Dogwifhat (CRYPTO: WIF), Popcat (CRYPTO: POPCAT) and Bonk (CRYPTO: BONK).

DefiLlama reports Solana's total value locked now stands at $6.14 billion, up from $1.1 billion at the start of 2024.

Also Read: The ‘Ethereum Killer’ Lives Up To Its Name: Solana Outperforms ETH by 19% Over A Week, But Can The Second-Largest Coin Stage A Comeback?

Why It Matters: Solana's recent 3% dip has prompted analyst IncomeSharks to caution traders against FOMO (Fear of Missing Out) and the tendency to justify late buying decisions by calling them “early” entries.

He emphasized that, while profits can still be made from entering trending trades late, it's crucial to recognize FOMO's impact on decision-making, as relying on this mindset does little to enhance trading skills.

$SOL – The word "early" is the most over used word to help people rationalize missing a trend and buying late. You can still make money buying late but you need to understand that you coping and rationalizing your FOMO trades won't make you a better trader. pic.twitter.com/e3PZEYOcoP

— IncomeSharks (@IncomeSharks) October 30, 2024

Crypto analyst Cold Blooded Shiller also commented on Solana’s volatility during October 2023, noting that while SOL doubled in value over a two-week span, it encountered five separate drops of 10%.

He underscored the need for traders to endure and even capitalize on such dips, stating, "These are the moves you need to be able to survive (and bid) if you want to make this run successful actively trading."

What’s Next: Investments in altcoins like Solana are expected to be thoroughly explored at Benzinga’s upcoming Future of Digital Assets event on Nov. 19.

Read Next: 

• Bitcoin Meme Coins? That’s Right, Trader Says ‘Best Time To Get In’ As Dogecoin, Solana Memes Surge

Read more...