Native cryptocurrency Solana continued its spectacular three-week-long rise, breaking $110 on Sunday morning. This is strong evidence of resilience.
The price of SOL has risen sharply, reaching levels not seen since the night before Terra collapsed a year and a half ago. This comes with a significant increase in meme coin activity in the cryptocurrency space, helping to increase the platform’s adoption and appeal.
Solana Surges: 400% Rally Sparks Crypto Renaissance
Solana’s remarkable rise over the last six months has been nothing short of spectacular, as the cryptocurrency experienced an incredible 400% increase.
As of this writing, data from Coingecko suggests that SOL is in a volatile position in the $110-$117 price range, rising 21% over the past seven days and registering a strong 60% increase over the past week .
One reason for Solana’s current rise in value is the overall cryptocurrency industry recovery. A significant increase in market capitalization and a revival in market sentiment have marked the bullish trend across the digital asset space.
The token’s overall market cap has increased by a staggering 40 percent, indicating that investors are once again confident and interested in the digital asset space.
At the same time, the total value of tokens locked for Solana applications also increased, reaching levels last seen in July 2022, increasing to $1.3 billion from $400 million in November.
SOL’s year-to-date gains have reportedly risen to over 830% thanks to these factors, with the majority of the growth occurring in the last two months alone. The network’s TVL was last at this peak in October 2022.
Solana TVL. Source: DefiLlama
Solana: On-chain triumph, $120 target
Sunday’s price action ended weeks of hectic trading that had at least temporarily propelled the Solana blockchain to the top of the list of on-chain activity. DefiLlama reports that Solana-based decentralized exchanges are close to Uniswap’s trading volume, which is in the billions of dollars.
There has been a significant increase in demand for the network so far this month. According to an analysis of network activity, the chain’s daily number of active addresses reached its annual high of 1.26 million on December 18th.
Source: Artemis
As interest in Solana grows, attracting both developers and investors, the blockchain’s thriving ecosystem and its role as a hub for speculation should soon push SOL to the coveted $120 mark.
The combination of increased activity in the Solana ecosystem and increased speculative interest in the cryptocurrency market provides a compelling explanation for SOL’s continued appreciation.
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