SOL cryptocurrency is now more capitalized than Ripple’s XRP. A craze based in particular on “memecoins”, such as Bonk (BONK) or Dogwifhat (WIF). What’s going on at Solana?
SOL overtakes XRP as the most capitalized crypto
Solana’s SOL has gained +11% over the last 24 hours, and now exceeds $87. This has boosted its capitalization to $37.3 billion. By comparison, Ripple’s XRP has stagnated, gaining +0.4% over the past 24 hours. The trend also extends over several days: over the week, the SOL has risen by +19%, while the XRP has fallen by -2%.
Solana’s SOL has made strong progress in recent days
SOL has thus become the 5th most important cryptocurrency of the moment in terms of capitalization. It is preceded by the top 4: Bitcoin (BTC), Ethereum (ETH), Tether (USDT) and Binance’s BNB.
How to explain Solana’s (SOL) rise
So how can we explain Solana’s SOL progression? We can already note that the decentralized finance ecosystem (DeFi) is flourishing on the blockchain. For the first time since November 2022, the total value locked onto Solana has in fact exceeded $1 billion. Decentralized exchange platforms – like Orca – have also seen their volumes explode. On December 15, Orca processed more than $740 million in transactions in a single day.
This is largely due to meme coins, which are currently generating a lot of enthusiasm on Solana. Bonk (BONK), for example, has enjoyed a stratospheric breakthrough, gaining +14,000% between October and mid-December. Currently, Dogwifhat (WIF) is up +907% on the week. So memecoins are booming on the blockchain.
All this is also having a wider effect. Solana phones, after lacklustre initial sales, have also seen their prices explode on the secondary market. So the ecosystem is currently in turmoil. Will this still be the case when the enthusiasm for memecoins subsides? That will depend on the community’s ability to capture the current fervor.
