In the world of cryptocurrencies, Solana (SOL) has surged ahead, overtaking two major Ethereum Layer 2 solutions – Polygon (MATIC) and Optimism (OP) – in daily trading volume, marking a significant milestone in its trajectory within the blockchain space.
Solana, known for its high-performance blockchain network, has seen a dramatic surge in daily on-chain trading volume, surpassing the combined trading volumes of Polygon and Optimism.
The numbers speak for themselves: Solana recorded an impressive $331 million daily trading volume, while Polygon trailed behind at $129.42 million, and Optimism stood at $48 million during the same period.
Moreover, Solana showcased its dominance in trading volume and net value locked (TVL) in decentralized applications (dApps). With a staggering $694 million locked in dApps, Solana surpassed rival Avalanche (AVAX), which secured $660 million in TVL.
Solana TVL, source: Defillama
Catalysts Behind Solana’s Surge in Trading Volume
The resurgence of Solana can be attributed to several pivotal factors driving its growth. Interest in Solana-based offerings such as Ordinals’ “SolScriptions” and various meme coins has triggered a wave of activity, leading to a surge in the minting of tokens on the Solana network.
The network’s allure has also been bolstered by active participation in liquid staking protocols like Jito and Marinade Finance, attracting new users and enhancing liquidity.
Furthermore, decentralized exchanges like Raydium and Orca experienced a notable uptick in popularity and usage, contributing significantly to Solana’s thriving ecosystem.
Despite this remarkable performance, Solana still trails behind Arbitrum (ARB), a significant Ethereum L2 that boasts a TVL of nearly $2.2 billion and a daily trading volume exceeding $363 million.
This trend highlights Solana’s growing ecosystem and investor confidence but also raises questions about potential future developments and its ability to narrow the gap with leading Ethereum-based solutions.
SOL Price to $100?
Solana experienced a trading volume exceeding $6 billion, significantly enhancing its allure and utilization within the market. Analysts, including Altcoin Sherpa, have turned their attention to this cryptocurrency, expressing optimism about its future.
They anticipate a potential correction in SOL’s value, suggesting an entry point below $50 as an opportune moment. Altcoin Sherpa’s Solana price prediction points towards a possibility of reaching triple-digit figures in 2024, specifically targeting a climb to $104.49 based on on-chart data.
As of writing this, the price of SOL has rallied by 3.15% within the past day, reaching $64 in its current trading value per CoinMarketCap data. Concurrently, the trading volume has surged by 12.3% during this time span, showcasing a remarkable 24-hour trading volume of $1.4 billion.
