The TVL locked in Solana's network has recently surpassed the $1 billion mark, coinciding with BONK's impressive price surge of over 627% in the last month. Additionally, during the previous month, Solana's projects, namely Marginfi, Kamino, and Orca, experienced significant increases in their TVL, with surges of 157%, 819%, and 134%, respectively.
2023 has witnessed an unprecedented rally for Solana. According to an analysis by BanklessTimes.com, the Solana market has spiraled by 627% since January 2023, a new yearly high for any cryptocurrency.
BanklessTimes Financial analyst, Alice Leetham, comments, that the thriving Solana market reflects the growing investor interest in its decentralized projects and great scalability options. With the price surges in the last months, Solana is well-positioned to dominate the entire crypto community soon. The next few months will be crucial for Solana to build its foothold over other networks.
The Overview of Solana's Success
The Solana network has retained a bullish market since the beginning of the year, considerably due to the uptick in users and more substantial investments. The daily active users on Solana’s network were up to 356300 by November 11, 10% higher than Ethereum's.
By December 21, 2023, the SOL price reached $87.15, representing a 600% rise from its high of $12.28 at the same time last year. This comes a week after Solana received about $ 21 million in investment funding.
Today, Solana ranks fifth in top cryptocurrencies in valuation, beating XRP with a nearly $6 billion lead. BONK’s market valuation contributed significantly to that rise, with its market cap rising well over $ 1.2 billion. BONK also witnessed incredible surges in its daily prices, with today's price of BONK currently at $0.00001926, a change of nearly +71% in the last one week.
Its decentralized exchanges(DEX) also saw a tremendous uptick in its trading volume to $1.26 billion on December 20, 2023.
Why is Solana Being Preferred Over its Competitors?
Scalability has been a persistent issue with most crypto networks. Usually, the more decentralized security crypto networks provide, the longer it takes to process transactions. However, the Solana network has better scalability than most networks. With the ability to handle about 65000 transactions per second, it is 10000 faster than Bitcoin and 4000 faster than Ethereum, putting it well ahead of its competitors. All while it offers higher transaction speed at low costs.
Solana's new projects and growing ecosystem are also excellent magnets for investors and users. With projects like Marinade Finance having well over 70% in TVL surges last month, Solana provides the ideal picture of a sustainable environment.
Solana is growing at a considerably high rate. Top crypto networks like Bitcoin and Ethereum must be on guard and improve their networks to reduce the risk of being overtaken.
