High tides in Solana are up 58% in their second strong week

After crashing more than 80 percent over the past year, Solana hit a staggering high in 2023. The price of SOL has more than doubled this month, rising more than 58 percent to $23.70 in the past seven days, according to CoinGecko.

Not only that, but the once-touted “Ethereum killer” saw its highest trading volume since the week of the crash of cryptocurrency exchange FTX, which Solana crashed along with most of the cryptocurrency market in November.

It is a marked setback for Solana. Less than a month ago, SOL ended the year down 94 percent, hitting a two-year low of $8.17 and dropping off the top twenty coins, according to CoinGecko data.

Now, Solana has briefly knocked Polygon MATIC out of the top 10 cryptocurrencies by market cap, bringing in $9 million on Saturday afternoon. Its price has also reached its highest point since FTX plunged. In just one 24-hour period last weekend, Solana jumped 21 percent.

The latest batch of good news for Solana was fueled by BONK, the Solana-based meme token, which unleashed a flurry of hype around Christmas and pushed the price of SOL to a seven-day high at the turn of the year. Coin collectors seemed excited to celebrate a new dog-themed entry into the market, along with Dogecoin (DOGE) and the Ethereum-based Shiba Inu (SHIB) token.

BONK posted an impressive 3,300% increase in the first week of the year — albeit to $0.00000487, according to CoinGecko. While the subsequent $5 trillion token burn did not keep BONK on an upward trajectory, its price fell by 69 percent last week, it remains at a market cap of $57 million. In fact, its price has increased by 20% in the last 48 hours.

Another factor may be contributing to the planned migration of helium into the Solana. The price of SOL, which was announced in September, saw a slight uptick as a result, while Helium saw the value of the native token drop. But the team behind Helium — a distributed wireless network that provides users with encryption tokens as a reward for sharing their home internet service — has presented a united front in favor of the long-term benefits Solana will bring.

“You can do things and it happens instantly,” said Amir Halim, CEO of Nova Labs. DecryptHe praised the speed of transactions, which Solana boasts of, saying development work would be “a lot easier”.

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