Solana’s native token SOL has overtaken Binance’s BNB, securing its position as the fourth-largest digital asset by market capitalization.
Recent data from TradingView indicates that SOL’s market cap has reached approximately $50 billion, marking its first surpassing of this threshold since December, and edging past BNB’s market cap, which peaked at $49.2 billion during the same timeframe.
This significant leap in market capitalization for SOL is largely attributed to its exceptional price performance over the last week, with a notable 20% increase to $115.
This surge places SOL ahead of major cryptocurrencies like Bitcoin and Ethereum in terms of weekly price gains. Solana’s recent achievements come despite past challenges, such as temporary network outages and its association with the now-defunct crypto exchange FTX.
Adding to the optimism surrounding Solana, asset management firm VanEck has forecasted that SOL could ascend to become one of the top three blockchain networks by market cap, total value locked (TVL), and active users by the year’s end.
The DeFi sector on Solana is also experiencing significant growth, with the value of assets locked on the blockchain nearing the $2 billion mark.
Current figures from DeFillama show Solana’s TVL at a 20-month high of $1.958 billion, signifying a strong recovery and sustained interest in DeFi activities on the network since the FTX collapse in November 2022.
Decentralized exchange (DEX) activity on Solana has been particularly vigorous. According to DeFillama, Solana-based DEX protocols have facilitated over $9 billion in trades this month alone, accounting for nearly half of the $22.65 billion total recorded last month.
This robust trading volume underscores the growing preference for Solana-based DEXs over their Ethereum counterparts in recent months.
Additionally, the Solana ecosystem has positively impacted Phantom, a leading crypto wallet heavily utilized within the network. Reports reveal that Phantom has seen its active user base more than triple over the past year, further evidencing the expanding reach and adoption of Solana’s DeFi and DEX offerings.
This confluence of factors—impressive market cap growth, thriving DeFi and DEX activities, and bullish forecasts from financial analysts—positions Solana as a formidable force in the cryptocurrency landscape, hinting at an even brighter future for the blockchain network and its stakeholders.