Besides Bitcoin, Ethereum is the biggest crypto ecosystem, but another competitor is lurking around. Apparently, the Solana ecosystem is becoming fans’ favorite due to its bullish trajectory starting from October 2023. Notably, important metrics like TVL and trading volumes are on the increase. The DEX trading volume of Solana reached as much as $6 billion in the past few weeks.
Solana DEX Activity Increases
- According to data from DefiLlama, the Solana blockchain is fast becoming a leader in the crypto market. Apparently, this is due to the latest increases in the trading volume, both for the native tokens and the DEXs. Consequently, the Ethereum blockchain is quite in trouble as it faces unreal competition from Solana. Data shows that Solana-based DEXes logged trades valued at more than $912 million. So, this is quite massive in comparison to $721 worth of trading on Arbitrum.
- On the other hand, the Ethereum blockchain still stays as the market leader, with more than $1 billion in trades. Nevertheless, this doesn’t undermine what the Solana blockchain did in the past weeks. Apparently, there’s a massive $6 billion in DEX volumes, marking a whopping 81% increase.
Recent Surge in Trading Activity
- A good look at the charts shows the new increase from Solana is something new. The surge in the DEX trading activity became more prominent around a month and a half ago. So, before the latest surge, the trading activity of Solana was usually around $1 billion. However, the new surge saw around $7.4 billion in trading activity in November. Going into more detail, a protocol named Orca was the prominent leader of the surge. Subsequently, another DEX Raydium was the second with over $1.5 billion.
Solana TVL on a Bullish Run
- The amount of cryptocurrencies locked up in the Solana ecosystem is also increasing. So, more traders and investors are locking up more cryptocurrencies and assets in the Solana ecosystem. In fact, data shows that the total value locked (TVL) has more than doubled since mid-October. It is important to point out that most of the bullish rally started in October, too.
- According to data from DefiLlama, the only ecosystem surpassing Solana in terms of growth percentage is Avalanche. Apparently, Solana’s highest monthly TVL gain was nearly 45%.
Market Favorite Over Ethereum
- Slowly, Solana is becoming the market favorite due to the increased robustness of its ecosystem. So, one of the things contributing to this favoritism is the meteoric increase in SOL’s price. According to data from CoinMarketCap, there was a 261% growth since the mid-October rally. Consequently, this takes the price of this token to levels of early 2022. Moreover, other tokens within the Solana ecosystem, like Bonk, are having a massive boom.
Conclusion
Wrapping up, the Ethereum blockchain is finally having a lot of competition from the Solana blockchain. Apparently, many traders who are investors seem to be siding with Solana over Ethereum. Literally, everything on Solana is moving very smoothly, including the native token and other assets like Bonk.
The information provided in this article is for informational purposes only and should not be considered financial advice. The article does not offer sufficient information to make investment decisions, nor does it constitute an offer, recommendation, or solicitation to buy or sell any financial instrument. The content is opinion of the author and does not reflect any view or suggestion or any kind of advise from CryptoNewsBytes.com. The author declares he does not hold any of the above mentioned tokens or received any incentive from the company.
