Investors who bought stocks during the COVID-19 market crash in 2020 have generally experienced some big gains in the last two years. But there is no question some big-name stocks performed better than others since the pandemic bottom — and cryptocurrencies as well.
Solana's Big Run: As strong as the stock market has been since it bottomed on March 23, 2020, Solana (CRYPTO: SOL) has been much stronger.
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Related Link: If You Invested $1,000 In Solana At Its COVID-19 Pandemic Low, Here's How Much You'd Have Now
The Solana launch in April 2020 coincides almost perfectly with the COVID-19 stock market bottom, and the timing couldn't have been better for investors. Younger Americans receiving three rounds of direct stimulus payments have poured a significant chunk of that cash into investments, including Solana. In addition, cryptocurrency investing became extremely trendy in 2021, and Solana was one of the most popular cryptos in the market.
In April 2020, Solana began trading at 83 cents. By the beginning of May, the cryptocurrency had dropped to 69 cents as investors focused more on the rebounding stock market and crypto leaders Bitcoin (CRYPTO: BTC) and Ethereum (CRYPTO: ETH).
While many cryptos bottomed in March 2020, Solana reached its pandemic low price of 51 cents in April and then again on May 11 and May 12, 2020. The good news for Solana investors is the crypto bounced off that level as the government started printing money and the crypto market picked up some incredible momentum.
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By July, Solana was above $1, and it finished 2020 at $1.51.
Solana In 2022, Beyond: On Jan. 19, 2021, influential Tesla Inc (NASDAQ:TSLA) CEO Elon Musk added #Bitcoin to his Twitter bio and tweeted “In retrospect, it was inevitable.” Musk’s tweet sent the entire cryptocurrency market soaring, including Solana.
Solana absolutely caught fire during the 2021 crypto trading frenzy, hitting $10 in February, $20 in March, $50 in May and $100 in August.
Solana ultimately hit a new all-time high of $260.06 in November 2021 but has since pulled back significantly. Today, Solana is trading back down at $37.65.
Still, investors who bought Solana on the day it hit its pandemic low and held on have generated a huge return on their investment. In fact, $1,000 in Solana purchased on May 12, 2020, would be worth about $69,000 today.
Given the rise in Solana prices in the past two years coupled with the loss of stimulus payment support in 2022, some investors are understandably concerned about just how much further Solana prices could fall. Solana and other cryptos are prone to boom-to-bust drawdowns, and Solana prices are already down 80% in the last six months.
Photo via Shutterstock.