Solana (SOL) has exhibited a remarkable price surge, recently hitting $120 with a 7.37% increase in the last 24 hours. This growth is particularly notable considering SOL’s performance since the beginning of the year, which has seen returns increase thirteenfold. This is an impressive feat given the token’s previous decline due to FUD caused by FTX.
According to Santiment, SOL’s daily transaction volume exceeded six billion over the weekend before slightly dropping to $5.9 billion on Monday. The positive sentiment among investors towards Solana is also evident, with the majority viewing the platform optimistically.
The rally in Solana has also boosted on-chain activity. A post by cryptocurrency researcher Emperor Osmo indicates that network growth reached a monthly peak in December, suggesting an influx of new users to the network.
The increase in network activity coincides with a sharp rise in capital inflow into the Solana ecosystem. According to Oxscope, the total value locked (TVL) in Solana has increased by $3.6 billion, marking a 56% growth. This growth in TVL has overshadowed that of other major smart contract networks like Ethereum (ETH), BNB Chain, and Avalanche (AVAX), highlighting Solana’s success and popularity.
Cryptocurrency analyst Patrick Scott highlighted scenarios where Solana’s Google search volume in the US surpassed that of Ethereum. Data analysis from Hyblock Capital suggests a shift towards market greed, implying the potential for continued accumulation. Consequently, Solana’s rally has not only strengthened on-chain activity but also encouraged network growth, with the network size reaching a monthly peak in December, signaling the addition of new users.
Overall, Solana’s performance and increasing investor interest, coupled with its strengthening on-chain metrics and TVL growth, paint a picture of a cryptocurrency on the rise. The platform’s ability to attract new users and capital suggests a robust and growing ecosystem that could continue to thrive in the competitive crypto market.