Significant Increase in Solana Blockchain Transaction Volume in January
During the month of January, there has been a notable surge in transaction volume on the Solana blockchain, according to The Block’s Data Dashboard. The transaction volume of SOL and SPL tokens on the Solana blockchain has reached $951.9 billion, with almost two days remaining in the month. This represents a 30% increase from December’s volume of $735.8 billion.
This rise in transaction activity is significantly higher than levels seen in previous years. In September 2023, the transaction volume on the Solana network hit a low of $40 billion.
Solana Price Recovers
On Monday, the price of Sol rose above $100 once again. The increased trading activity on decentralized exchanges seems to be driven by WEN token pairs. Stablecoin-SOL, stablecoin-WEN, and SOL-WEN pairs make up the top five DEX trading slots in the past 24 hours.
Airdrop and Solana Uptick Lead to Liquidations Spike
This week, WEN was airdropped to users of Solana’s Jupiter decentralized exchange, as well as owners of certain Solana-based NFT projects. As a result of the uptick in Solana’s price volatility, there have been significant liquidations of short positions on centralized exchanges.
In the last 24 hours alone, around $9.9 million worth of short positions were liquidated, with the majority being shorts. Across various centralized exchanges, the overall crypto market saw over $79 million in liquidated short positions, contributing to a total of $118 million in liquidations.
Hot Take: Solana Continues to Make Waves
Solana’s transaction volume surge in January showcases the growing popularity and adoption of the blockchain. With a significant increase in economic throughput, Solana has established itself as a prominent player in the crypto space. The recovery of Sol’s price and the rise in trading activity on decentralized exchanges further solidify its position. However, the uptick in price volatility has also led to liquidations of short positions. It remains to be seen how Solana will continue to evolve and navigate these market dynamics.
By
By
By
By
By