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Solana Soars Above $150 as Bitcoin and Ethereum Hit New Highs
Solana has seen a significant surge in value, reaching above the $150 price point for the first time since January 2022. This two-year peak comes as Bitcoin achieved another all-time high price above $70,000, and Ethereum climbed to $4,000 for the first time since 2021.
Following the milestone, Solana experienced a slight dip from its peak above $152, falling to around $143. However, the price has since rebounded and currently stands at about $150. This recent surge in Solana’s value mirrors the overall upswing in the market, which had previously seen its price exceed $120 in December before a brief lull.
Despite the recent surge, Solana still trails significantly behind its previous all-time high price point. In November 2021, Solana hit a peak of just under $260, approximately 42% higher than its current price. In comparison, Ethereum is about 20% away from its peak price from the same month, while Bitcoin is down by roughly 3% from its recent record.
Driving Forces Behind the Surge
While market movements in Bitcoin often have a ripple effect on other major cryptocurrencies, Solana’s climb can also be attributed to the increasing trading volume in decentralized finance (DeFi) as well as the rising popularity of Solana-based meme coins in the current crypto frenzy.
Data from DeFiLlama shows that trading volume on Solana decentralized exchanges (DEXs) has reached $2.7 billion in the past 24 hours, surpassing Ethereum’s $2.32 billion in DEX volume during the same period. This surge in trading activity is fueled by meme coins trading on Solana, taking advantage of its low fees.
Additionally, Solana DeFi protocols now boast a total value locked (TVL) of more than $3.1 billion, more than double the figure from just one month ago. While this figure is significantly lower than the over $10 billion locked in November 2021 when Solana was at its peak price, it marks the highest level since May 2022.
Comparatively, Ethereum’s TVL stands at a substantial $56.6 billion, a notable decrease from its peak of nearly $109 billion in November 2021.
Disclaimer: The views and opinions expressed in this article are for informational purposes only and should not be considered as financial, investment, or any other form of advice.
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