Solana, the altcoin that captured headlines, has skyrocketed from $21 in mid-October to nearly $45 last week, firmly establishing itself as the most traded alternative cryptocurrency on US exchanges this year. This remarkable performance came on the heels of a brief dip below $10 during the FTX exchange’s collapse.
Recent data from Kaiko Research shows SOL’s extraordinary surge, with its price surging by a staggering 115% since mid-October.
But everyone’s now stopping to wonder – what’s driving the surge?
What’s Behind Solana’s Rise?
Coinbase, a leading exchange, played a pivotal role in SOL’s success by acquiring 2.2 million tokens on October 18. Since then, SOL has witnessed a remarkable 35% surge.
Solana’s surge can be attributed to a notable uptick in network activity, especially concerning liquid-staking token protocols like Jito, the second liquid-staking protocol on Solana. Data reveals that Jito has attracted up to $12 million in funding and boasts a total value locked (TVL) of approximately $224 million.
As an alternative Layer 1 (alt L1) blockchain, Solana is often compared to Ethereum (ETH) and has been doing better than its counterpart in recent months.
The ratio of SOL to ETH went up from 0.011 in September to about 0.025, surpassing levels from before the FTX crisis.
It’s not been easy…!
On the other hand, South Korea’s prominent exchange, Upbit, decided to sell nearly 4 million SOL tokens.
Also Read: Solana (SOL) to the Moon? Raoul Pal Predicts Bullish Outlook
Solana Steals the Spotlight
In the broader context, SOL has outperformed other popular altcoins such as Dogecoin (DOGE), Litecoin (LTC), Polygon (MATIC), and Ripple (XRP) in trading volumes across US-based exchanges, solidifying its position as the favored alternative digital asset among US traders in 2023.
Within a month, SOL has experienced a remarkable 75% increase in value, cementing its status as a formidable presence in the crypto world.
Read More: Solana Price Analysis: Will SOL Price Hit $50 Soon?
What are your predictions for Solana’s future?
