The SOL Accumulation Strategy That Yielded 150% Returns

Background

During the bear market of 2024, this wallet implemented a sophisticated dollar-cost averaging (DCA) strategy to accumulate SOL at depressed prices. By the time the market recovered in early 2025, they had achieved a 150% return on their investment.

Market Context

The wallet began accumulating SOL under these market conditions:

• SOL had dropped over 90% from its all-time high
• Negative sentiment was pervasive across crypto markets
• Many retail investors had capitulated and exited positions
• Solana ecosystem development continued despite price action

Accumulation Strategy

The wallet implemented a multi-phase accumulation strategy:

1. Initial position: 20% of capital deployed at $12 per SOL
2. Systematic DCA: 5% of remaining capital deployed weekly regardless of price
3. Accelerated buying: Doubled purchase amounts when SOL dropped below $10
4. Final accumulation: Large purchase at $8 (the cycle bottom)

Average entry price: $13.20 per SOL with a total position of approximately 15,000 SOL

Holding Through Volatility

During the accumulation period, the wallet demonstrated remarkable discipline:

• Never sold despite continued price drops
• Maintained conviction through FTX collapse and industry contagion
• Continued accumulating when sentiment was at its worst
• Focused on ecosystem metrics rather than price action

Exit Strategy

As the market recovered, the wallet implemented a strategic exit plan:

1. First exit: 15% of holdings at $25 (89% profit)
2. Second exit: 25% of holdings at $32 (142% profit)
3. Third exit: 30% of holdings at $38 (188% profit)
4. Retained: 30% for long-term holding

Average exit price: $33 per SOL, representing a 150% return on investment

Key Success Factors

Several factors contributed to this wallet's successful strategy:

• Counter-cyclical investing (buying when others were fearful)
• Systematic approach that removed emotion from decisions
• Proper position sizing that allowed for continued buying
• Focus on fundamentals rather than short-term price action
• Strategic exit plan with predetermined targets

Lessons for Traders

This case study highlights several important lessons:

• Bear markets create opportunities for significant returns
• Systematic DCA can be more effective than trying to time the exact bottom
• Conviction based on fundamentals helps maintain positions through volatility
• Having a predetermined exit strategy is as important as an entry strategy
• Retaining a portion for long-term holding can capture additional upside

Conclusion

This wallet demonstrated how a disciplined, systematic approach to accumulation during bear markets can yield exceptional returns when the market recovers. By focusing on fundamentals and removing emotion from trading decisions, they were able to capitalize on the significant discount in SOL's price.