Solana retraces back to pre-Xmas prices
The price of Solana ( SOL ) cooled in the days following Christmas after an impressive 120% monthly rally in December that saw its market cap grow larger than that of Binance’s BNB ( BNB ).
The retrace saw Solana’s price fall below $100 before spending several hours at pre-holiday prices just above $101.
At the time of publication, Solana is changing hands for $105, still down roughly 14% from its yearly high of $123, which it notched on Dec. 26, per TradingView data .
However, an unexpected 9% uptick in the price of BNB has now seen the Binance-linked token reclaim its position as the fourth-largest cryptocurrency by market cap.
Solana has returned to a pre-Christmas trading price of around $100. Source: TradingViewSolana frenzy rally saw several SOL-based memecoins, including Bonk (BONK) and Dogwifhat (WIF) also witness incredible price action over the last few weeks, posting gains of 650% and 123,000% between Nov. 22 and Dec. 22.
However, both of the memecoins have since retraced more than 50% from their all-time highs, each beginning their tumble three days before Solana notched its yearly high on Dec. 26.
Running parallel to the outsized gains in the price of Solana, was an influx of trading activity on the network, which briefly saw trading volumes on SOL-based decentralized exchanges (DEXs) eclipse that of Ethereum for the first time.
BREAKING: @solana 24H DEX VOLUME OVERPOWERS THOSE OF @ethereum AND @arbitrum COMBINED pic.twitter.com/9WqBmmOeXB
— DEGEN NEWS ️ (@DegenerateNews) December 22, 2023
Solana DEX volume has since cooled off and fallen to $1.1 billion in the last 24 hours, roughly half that of Ethereum’s $2 billion, per DefiLlama data .
Meanwhile, Ethereum has also recently posted a 5% weekly gain, leading many traders and analysts to speculate that Ether ( ETH ) could start outperforming its competitors soon.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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