On January 20, a client on the OTC platform Paradigm executed a “large” Solana options trade that will be profitable if the price exceeds $400 by February 28, according to CoinDesk.
The unnamed institutional investor opened a bull call spread by simultaneously purchasing a call with a $280 strike and selling another call with a $400 strike, both expiring on the same date.
Such a strategy maximizes profit if Solana’s price at expiry is near or above $400—the short call’s strike price.
In other words, the trader is wagering that Solana will rise at least 55% above its current level of around $257 in under a month.
According to Greg Magadini, director of derivatives at Amberdata, the breakeven point for this trade is approximately $300.
Context and Market Drivers
The move came amid statements by Coinbase CEO Brian Armstrong about plans to expand the Solana ecosystem on Coinbase.
We have the Solana backlog triaged, and transactions should generate quickly again. If your transaction got canceled you can retry it now – apologies for the trouble.
— Brian Armstrong (@brian_armstrong) January 22, 2025
It’s clear we need to step up our game on Solana, scale our infrastructure, and provide native support for…
“Our goal is to support Solana on par with Bitcoin, Ethereum, and Base,” Armstrong wrote.
He was responding to user complaints about transaction-processing issues with SOL on Coinbase—caused by high market activity.
On January 18, Solana set a new all-time high of around $270, fueled by the launch of an “official” TRUMP meme token from U.S. President Donald Trump on the Solana network.
The next day, MELANIA—a token from the president’s spouse—followed, ushering in what some called “the craziest weekend” on Solana.
January 23–25: The SEC faces deadlines for preliminary decisions on Solana-ETF filings from VanEck, 21Shares, Canary, Bitwise, and Grayscale.
Experts expect the product to appear by the end of 2025. JPMorgan estimates that inflows into prospective spot ETFs for SOL and XRP could exceed those for Ethereum-based products within six months of listing, potentially reaching $3–6 billion.