After a 2023 in which it recorded the best performance in the cryptocurrencies, Solarium started the new Year with a 9% weekly drop. Various analysts maintain that the bullish momentum may remain latent given that the comparison with the previous month remains positive. However, the recent setback could generate distrust regarding the price reached by the SOL token.
Some analysts consider that the big improvements registered by Solarium was due to the launch of Jito, the new infrastructure for the efficient extraction of Maximum Extractable Value (MEV). Furthermore, the bullish momentum that generated that was supported by a significant increase in volume within Solana’s ecosystem of decentralized applications (DApps) and within the framework of several disruptions suffered by some competing blockchains.
How much Solana is worth today
Solana’s TVL, in SOL terms, is trading at $95after collapsing a 5.8% in the last 24 hours and a 8.4% in it weekly cumulative.
This happens after you have reached your Maximum point with 15.4 million deposits he December 19, 2023 and after experiencing a 17% decline to 12.8 million SOL January 5, 2024.
Solana: why it falls 9% in the last week
To evaluate how this drop came about, it is important to analyze the volume of activity. In recent days, in terms of active addresses and volumes, it is notable decrease in Solana activity. Going deeper into the analysis, it can be mentioned that, in addition, the reduced demand for DApps from Solana covers all sectorsincluding decentralized finance (DeFi), liquid stacking, games, social networks and NFTs.
In that framework, it may be that investor appetite for the SOL token has reached a stabilization point. Although still It cannot be said that the trend is imminenta new wave of airdrops and revive the market. However, the indication provided by weekly drop points to a decline of demand in the Solana network.
An unforgettable 2023 for Solana
The year that ended was celebration for him crypto world. In the last 12 months, digital assets They overcame the successive bankruptcies of 2022 and managed to reverse the downward trend. In this framework, the increases led the stock market capitalization to exceed the US$1.6 trilliondriven by the rebounds of the main market assets such as Ethereum (ETH), Solarium (SUN), XRP, Cardano (ADA) or the Bitcoin (BTC).
In this framework, specifically Solariumof the ten largest cryptocurrencies, was best annual performance. Going from positioning in January 2023 around the u$s12for end the year around the $85which meant a huge 620% increase.
Source: Ambito
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