- Solana is up by more than 58 percent over the past week to join the broader crypto market rally.
- The coin’s growth after its associated FTX menace is being powered by SHIB rival, BONK.
The ongoing price explosion in the digital currency ecosystem is spelling a very good omen for Solana (SOL) as the cryptocurrency has surged by 9.50 percent over the past 24 hours to $24.40. For those that have been following the trends in the Solana blockchain, this price growth is a remarkably impressive one, considering coin is now trading at its highest level since the implosion of the FTX Derivatives Exchange.
Considering the connections between the embattled former FTX Chief Executive Officer, Sam Bankman-Fried (SBF), and the Solana ecosystem, the price of the cryptocurrency plunged remarkably, with its price falling to its more than 52-week low of $8.14. With the coin’s current performances, its price has now pumped by 69.7 percent over the trailing 7-day period and atop a monthly growth of 98.7 percent.
The Solana growth spells a number of realities for the members of its ecosystem and it implies that the network is resilient enough to withstand some of the most strenuous periods in its history and bounce back. Digital currencies like Terra (LUNA) crashed almost to oblivion last year in May when its associated algorithmic stablecoin, Terra(USD) depegged from the US Dollar.
Now the majority of the short-term SOL holders are in profit, a trend that lends succor to the future growth of the coin. An important on-chain metric to note revolves around the dwindling trading volume which plummeted by 31.74 percent over the past 24 hours to more than $1.63 billion per data from CoinMarketCap.
This is evident that the SOL price growth is a reflection of the individual valuation being placed on the coin by buyers spanning both its’ retail and big money buyers respectively.
Solana (SOL) and the BONK catalyst
While the majority of cryptocurrencies are recording some of their best price actions in months in line with the general trend in the industry, each coin is powered by a unique fundamental in its own ecosystem.
For Solana, its growth might have its undertone in Bonk (BONK), the memecoin that took not just the Solana protocol by storm this just, but the broader digital currency ecosystem. By priding itself as the first dog token in the Solana ecosystem, BONK has garnered its own dedicated community and is pushing an ambitious mantra as the next Shiba Inu (SHIB) killer.
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For what it’s what, the growing embrace of BONK is positively impacting the SOL token as well. Over the past 24 hours, BONK has grown by 31.08 percent to $0.000001458 at the time of writing, according to data from CoinMarketCap. The impressive price action of BONK has made it the best-performing altcoin of 2023, with its price surging more than 787 percent in the year-to-date period.
The momentum being given by BONK helped it gain more transaction count than Ethereum, and though this momentum may be quite difficult to sustain, BONK has shown it is a token to reckon with, and Solana is showing signs of strength to power a product that many in the industry now craves for.