Solana’s DEX Volume Surpasses Ethereum’s as Meme Coins BONK and Dogwifhat Fuel Trading Frenzy
Crypto News – In a remarkable turn of events, the Solana blockchain ecosystem has achieved what seemed unlikely just weeks ago: its decentralized exchange (DEX) transaction volume has outpaced that of its rival, Ethereum. This recent surge has seen Solana’s DEX volume climb to a staggering $9.03 billion over the last seven days, as per Defi Llama‘s data, overshadowing Ethereum’s $8.836 billion in the same timeframe.
Ethereum’s Short-Lived Eclipse
Although this milestone for Solana might be transient, with Ethereum already reclaiming its lead in DEX volume in the past 24 hours, the significance of this development cannot be understated. Decentralized exchanges like Ethereum’s Uniswap and SOL’s Orca are crucial for the peer-to-peer trading of a wide range of cryptocurrencies, especially meme coins not typically found on centralized exchanges. Historically, Ethereum has been the dominant force in this domain.
The Meme Coin Phenomenon
The recent boost in DEX activities on SOL is largely credited to the network’s lower transaction fees. The meme coin BONK, particular to SOL, has been central to crypto conversations, escalating from a modest start to a remarkable billion-dollar market capitalization. Additionally, this week witnessed the rise of Dogwifhat (WIF), a new dog-themed Solana coin, which astonishingly increased by 376,000% since its launch a month ago. At its peak, Dogwifhat surpassed a market capitalization of $250 million, settling later at $204 million, according to CoinGecko.
Top Tokens on Solana DEXs
Blockchain data collated by Dune Analytics from prominent SOL decentralized exchanges indicates that BONK and WIF rank among the most traded tokens of the past week, excluding stablecoins.
My goodness! Who would have thought that a dog $wif a hat would end up smoking every meme coin in 2023 (and probably go on an absolute tear in2024). This thing hasn’t even started to go bananas amongst the mainstream yet. Network effects on steroids https://t.co/82zDRWItVS
— Derek Trotter (@DelB0yTr0tter) December 21, 2023
SOL’s Continued Growth
Amidst these developments, SOL, SOL’s native token, has been on a significant uptrend. It recently overtook XRP and set a new 2023 high by crossing the $80 mark. Currently, as reported by CoinGecko, SOL’s price has further escalated, exceeding $89.
Community’s Optimistic Outlook
The Solana community has warmly embraced these milestones, along with other encouraging signs from the Solana NFT ecosystem, interpreting them as indicators of the blockchain’s emerging prominence.
Comparative Market Positions
Despite SOL‘s recent advancements, there is still a substantial journey ahead. SOL’s current market capitalization is just over $37 billion, whereas Ethereum’s market cap stands much higher, at approximately $268 billion, highlighting the scale of growth Solana aims to achieve.
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