The Solana Foundation has signed a new MoU with Dubai’s Virtual Assets Regulatory Authority (VARA). The objective is to promote closer teamwork between people in the cryptocurrency industry and regulators. Main programs include training and developing talent, sharing details on the economic impact and industry trends, organizing seminars and advisory events for founders, and assisting the Dubai Solana Economic Zone. The move represents another significant step in Dubai’s growing friendliness with the crypto industry.
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Solana Rallies Amid Dubai MoU
SOL’s price seems to be reacting positively to the latest development. The asset’s price has rallied 2.7% in the daily charts and 9% over the previous month. Despite the rebound, SOL’s price is down 8% over the last week, 5.9% in the 14-day charts, and 3% since June 2024.
The dip could be due to Bitcoin’s (BTC) price decline over the last few days. BTC hit an all-time high of $111,814 on May 22. BTC’s price correction has likely triggered a market-wide dip. SOL’s price seems to follow BTC’s trajectory.
Solana’s (SOL) price decline over the last year is surprising for many. The asset was one of the best-performing cryptocurrencies of 2024. SOL’s price fell to below $9 in 2022 after the collapse of FTX. Since its 2022 lows, SOL has hit multiple all-time highs. Its most recent peak came in January when the asset climbed to a new high of $293.31. SOL’s price has fallen by 45.7% since its January peak.
Will The Asset Recover?
There is a high chance that SOL will recover over the coming weeks. The asset has displayed incredible resilience over the last few years. We may witness another rally once BTC generates steam.
The Solana network is also waiting for the Firedancer update. The upgrade will greatly enhance the network’s scalability. According to reports, the Firedancer update could increase the number of transactions per second to more than one million.