Memecoins
Solana continues rally fueled by Memecoin and DeFi activity
Memecoin trading on the Solana network is driving its recent price surge, the killer eth altcoin is back above $170.
Solana is up more than 5% in the last 24 hours and is currently up trade at $173.07, according to CoinMarketCap.
Solana price, Source: CoinMarketCap
According to Zeta Markets founder Tristan Frizza, the increase in the value of the token is mainly due to increase in memecoin exchange activities on the Solana network.
“Memecoins have certainly become a significant driver of activity on Solana. Beyond speculation, this demonstrates Solana’s ability to handle high transaction volumes with low fees, making it the perfect environment for retail users,” said Frizza.
To prove this, Frizza cited on-chain indicators such as Solana’s total value locked (TVL) exceeding $4.9 billion. “This indicates robust network activity and the number of active users is also steadily growing, with monthly active addresses reaching a new all-time high of 41.65 million in May,” Frizza said.
According to this week’s Bitfinex Alpha report, Solana’s DeFi ecosystem is growing, as evidenced by lending, liquid staking, and eternal markets.
According to Bitfinex analysts, Solana’s surge is attributed to its superior transaction speed and scalability compared to other blockchains. Despite ranking below Ethereum in TVL, Solana ranks second in decentralized trading volumes, indicating its growing popularity among users.”
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