Solana’s Ascendance to $100
Solana (SOL) is currently experiencing a significant surge, with indications suggesting its determination to reach $100. This feasible milestone is supported by several bullish narratives within the Solana ecosystem, propelling it to become the fifth-largest cryptocurrency by market cap, surpassing XRP.
Solana DeFi 2.0 Momentum
On December 16, the official X (formerly Twitter) account for Solana emphasized that “Solana DeFi 2.0 is just getting started.” SOL’s DeFi ecosystem is gaining momentum, with data from DeFiLlama revealing its robust performance compared to Ethereum in terms of decentralized exchange (DEX) volumes.
- Solana recently overtook Ethereum in 7-day DEX volume, reaching $9.03 Billion compared to Ethereum’s $8.836 Billion.
- This achievement is noteworthy, considering Ethereum’s prominence in hosting major decentralized exchanges.
The influx of liquidity into the ecosystem is a strong indicator that Solana is on its way to reaching the $100 mark. DeFi Llama data also shows a doubling of stakes in the Solana ecosystem, with the Total Value Locked (TVL) currently standing at $1.20 billion, its highest level since last year.
Credit is due to protocols contributing to Solana’s growth, such as the liquid staking protocol Jito, which has over $570 million locked. Jito recently distributed a $225 Million airdrop to SOL users, attracting new capital into the ecosystem.
Is SOL Poised to Surpass Ethereum?
Solana has long been referred to as the “Ethereum Killer,” although this title had not materialized due to network outages. However, recent developments suggest that SOL is prepared to live up to the hype.
Notably, the Solana network has achieved 100% uptime since the last recorded outage in February. This resilience is commendable, especially considering the increased network activity Solana has experienced.
If Solana can overcome its past outages, it may emerge as a compelling alternative to Ethereum, potentially increasing its utility and value. ARK Invest’s CEO, Cathie Wood, has praised Solana for its efficiency, citing its speed and cost-effectiveness compared to Ethereum.
As of the latest data from CoinMarketCap, SOL is trading at around $86, marking a growth of over 10% in the last 24 hours.
