Solana has seen a remarkable surge, reaching a two-year high above $150 as Bitcoin and Ethereum prices continue to rise. The rally in Solana’s value can be attributed to a combination of increased trading volume in decentralized finance (DeFi) and the proliferation of Solana-based meme coins. Solana’s DeFi protocols now hold over $3.1 billion in total value locked (TVL), a significant increase from the previous month.
This recent surge in Solana’s price coincided with Bitcoin and Ethereum’s impressive bull runs. Bitcoin reached a new all-time high above $70,000, while Ethereum reclaimed the $4,000 threshold for the first time since 2021. Although Solana’s price experienced a brief dip after this milestone, it has largely recovered and settled around $150.
Solana’s resurgence follows a trend in the market, with its value rebounding alongside other major cryptocurrencies. In December, Solana surpassed $120 before entering a period of stagnation. However, recent weeks have brought renewed momentum, driving Solana’s price upward.
The growing popularity of DeFi trading has played a significant role in Solana’s rise. Additionally, the emergence of Solana-based meme coins has added to its appeal, taking advantage of the crypto hype. Notably, trading volume on Solana decentralized exchanges (DEXs) has surpassed Ethereum’s trading volume in the past 24 hours, highlighting Solana’s strength in the DeFi space. With Solana’s DeFi protocols holding over $3.1 billion in TVL, more than double the previous month’s figure, there is renewed interest in the platform’s offerings.
Although Solana’s TVL remains below its peak levels in November 2021, the recent increase signals a growing interest in the platform. With meme coin trading gaining traction and DeFi activity on the rise, Solana’s upward trajectory seems likely to continue in the near future.