The Solana blockchain has been in full euphoria for several days, with SOL exceeding $100 this weekend for the first time since April 2022. Driven by record trading volume, the Solana crypto largely outperforms Bitcoin and Ethereum.
Solana and the comeback of the year in crypto
The Solana network continues to attract new users and investors. Over the past 24 hours, SOL/USDT spot trading volume reached an impressive $1.037 billion on Binance, surpassing that of Bitcoin and Ethereum.
At the same time, the volume SOL futures have exploded to $4.7 billion on the platform, again well beyond BTC and ETH. Solana thus confirms its place as the most traded crypto of the moment on Binance.
This insane enthusiasm around the decentralized network mechanically boosts the price of SOL, which increased by more than 25% in 24 hours to reach $115. The market capitalization is now close to $45 billion, which propels Solana to 4th place among cryptos, ahead of BNB.
A newfound confidence
This spectacular rise demonstrates the renewed confidence of investors in this ambitious project after a catastrophic year 2022. Remember that the price of SOL had fallen by more than 96% between its historic record of $260 in November 2021 and its low in June 2022.
The debacle of FTX and the legal setbacks of its former boss Sam Bankman-Fried, a fervent supporter of Solana, had then sowed doubt about its viability. But since then, the resilience and vitality of Solana’s decentralized applications have restored its image.
But the resilience that Solana has shown in recent months has proven the strength of its fundamentals. Above all, the enthusiasm for decentralized applications built on Solana continues to grow, like the success of Play-to-Earn games like Star Atlas.
Solana also owes its success to the dynamism of its native token ecosystem. Viral coins like BONK and Dogwifhat (WIF) have been lighting up the network for several weeks. Last week, weekly DEX volume on Solana even eclipsed that of Ethereum for the first time!
Thus, despite still very high volatility, the future seems brighter than ever for the “Ethereum killer” and its SOL token, now firmly anchored in the top 5 cryptos. It remains to be seen whether this spectacular rebound marks a real renewal or is just a flash in the pan like the crypto-sphere has too often experienced in the past.
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