Solana, a prominent cryptocurrency, has experienced significant gains throughout the year, reaching a new milestone in December. The price of Solana has nearly doubled since the beginning of the month, attracting more users to this promising digital asset. As a result, the Solana blockchain has witnessed an extraordinary surge in user engagement. In fact, within just a few weeks, the monthly activity level of Solana’s addresses surpassed its previous record this year, reaching over 16.45 million in December. Furthermore, the blockchain has seen the creation of over 7.23 million new addresses this month alone. This influx of new users flocking to the network may indicate a potential rise in Solana’s price, which could soon reach $200.
Solana’s Astonishing Growth and Market Cap
The exponential growth in popularity of Solana this year has exceeded expectations. Consequently, Solana’s market capitalization has soared, displacing both XRP and BNB to secure a place in the top crypto rankings. According to on-chain data from The Block, Solana’s active addresses have been steadily increasing since October, reaching a yearly high of 981,380 daily transactions on December 21. Additionally, the total number of transactions in December has already exceeded January’s count, with a staggering 16.45 million transactions.
Solana’s trading volume this month has reached an impressive $183.99 billion, marking a 111% increase from the previous month’s trading volume of $86.86 billion. Notably, Solana has also recently surpassed Ethereum in 7-day DEX volume, a significant achievement in the platform’s history. The total value locked on Solana’s DeFi (Decentralized Finance) protocols has skyrocketed to $1.492 billion, showcasing a remarkable growth of 580% since the beginning of the year.
With a growing number of individuals interacting with the Solana network on a daily basis, the popularity and value of the platform are surging. As active addresses perform transactions, stake SOL tokens, and engage with decentralized applications (dApps) on the blockchain, Solana’s utility expands, making the SOL token more valuable and useful. This upward trend is notably exemplified by BONK, Solana’s first dog-themed meme token, which witnessed a 314% price increase within a 30-day period. Meanwhile, Solana itself has recently reached a yearly high of $117.
Overcoming Resistance and Future Prospects
Reaching the $200 mark would be a significant milestone for SOL, as the cryptocurrency hasn’t attained this price level since November 2021. Although the current metrics suggest an impending surge in activity to reach this target, the first resistance level lies at $116, with the subsequent one at approximately $136. A decisive breakthrough beyond $136, combined with an overall bullish sentiment in the crypto market for 2024, would provide Solana with the momentum to continue climbing to new heights.
Solana’s recent achievements demonstrate its growing prominence and appeal among crypto users. The substantial increase in user activity, coupled with the platform’s impressive trading volume and dominance in the decentralized exchange sphere, solidify its position as an emerging leader in the cryptocurrency market. As Solana’s utility expands and more individuals embrace its potential, the SOL token is likely to experience even greater value. However, it is essential to conduct thorough research and consider the inherent risks before making any investment decisions. Solana’s remarkable journey serves as a testament to the transformative power of blockchain technology and the immense possibilities that lie ahead.