Solana price explosion shocks XRP investors
Solana price explosion is causing euphoria among investors. At the same time, XRP investors are shocked by the immense success of the smart contract platform. Why SOL achieved 620 percent profit in the last 12 months and how positive the outlook still is.
The Solana price explodes again
The Solana price explodes again. In the last 24 hours alone, SOL has gained 13.60 percent at the time of going to press. In the weekly trend, the increase is even greater at 20 percent.
After Solana rose above $87, the smart contract platform overtook the previous fifth-placed coin in the top 100 – XRP. Solana is now well ahead of the Ripple currency with a lead of four billion US dollars.
SOL’s market capitalization is $37.3 billion, while XRP only has $33.5 billion. The event is causing a lot of anger among XRP investors on Twitter. XRP had a good year in 2023, but the project can no longer keep up with the growth of SOL.
Solana price is growing 620 percent year-on-year
A year ago the conditions were different. XRP had been considered a shaky candidate since 2020 until the decisive victory in court against the SEC in July. It was also uncertain whether Solana would continue to be one of the largest cryptocurrencies.
Due to the collapse of FTX in November 2022, Solana struggled with extreme losses. At times the cryptocurrency fell to nine US dollars and was no longer in the top 10.
However, over the next few months, SOL was able to hold its own and achieve incredible growth. In the annual trend, the cryptocurrency has recorded an increase of 620 percent.
Why SOL makes a big profit
In the NFT market, Solana’s trading volume is now as high as Ethereum’s. The smart contract platform only has to admit defeat to the new leader Bitcoin.
Solana’s ecosystem is growing immensely. Over the last four weeks alone, TVL in the DeFi space increased by 120 percent, as DefiLlama shows. No other blockchain can achieve similar profits.
The extent of institutional investment in Solana is particularly striking. Very good results on the stock exchanges over 2023. ETPs tracking Solana have been the second most popular of all crypto investments after Bitcoin, CoinShares data shows.
The renewed trend around memecoins also plays into Solana’s hands. One of the most popular fun currencies of the last few months lives on SOL. The project called BONK went through the roof extremely.
The increasing popularity of the memecoin in turn ensured a growing ecosystem. The Solana Saga smartphone was released in spring 2023. The success of the device was previously considered rather limited.
However, since the mobile device also includes a BONK airdrop of 30 million tokens, interest has recently grown. At the time of going to press, the tokens were worth $570. The Saga until recently sold for $600.
Despite all the euphoria, Solana is a long way from its previous all-time high. The cryptocurrency’s ATH is $260, reached during the 2021 bear market.
