Solana DEXs Hit $5 Billion Trading Volume Milestone
According to DeFiLlama, Solana’s decentralized exchanges (DEXs) have seen a massive resurgence, reaching a new milestone. For the first time ever, Solana’s DEXs surpassed $5 billion in trading volume for three consecutive days. This achievement highlights the growing adoption and trading activity on the Solana blockchain, cementing its position in the competitive DeFi space.
Trading Volume Breakdown
From November 10-16, 2024, the total trading volume on Solana DEXs hit a remarkable $16 billion. The majority of this volume came from Raydium, which alone accounted for over 62% of the total trading activity. Here’s a breakdown of the trading volume by platform:
- Raydium: 62% of total trading volume
- Orca: 22.2% of total trading volume
- Lifinity: 6.96% of total trading volume
- Phoenix: 4.92% of total trading volume
Solana’s Market Share Grows in 2024
A recent report from Syncracy Capital sheds light on the increasing market share of Solana in 2024, particularly in comparison to Ethereum (ETH). Solana’s rise is not only reflected in trading volume but also in the Real Economic Value (REV) and Total Application Revenue (TAR) metrics, where it has shown impressive growth:
- REV (Real Economic Value): Solana’s REV grew to 111% of Ethereum’s last month, compared to just a 1% increase the previous year. This surge can be attributed to MEV tips and transaction fees on the network.
- TAR (Total Application Revenue): Solana’s TAR increased to 109% of Ethereum’s TAR, reflecting a significant rise in application fees generated on the Solana blockchain.
Solana is Gaining Market Share from Ethereum
Analysts are beginning to acknowledge that Solana is capturing Ethereum’s market share, as evidenced by the strong growth in Solana’s DeFi ecosystem and on-chain activity. Over the last 12 months, the cyclical tailwinds have strengthened SOL’s position in retail financial activities, with an increasing number of users turning to Solana for lower transaction fees and faster processing times.
Meme Coin Trading and Developer Opportunities on Solana
One key factor behind Solana’s rapid growth is the surge in on-chain activity, particularly in meme coin trading. This has become a core feature of Solana, attracting users looking for alternatives to traditional, venture-backed assets. According to the Syncracy Capital report, the growing demand for meme coins is driving significant traffic to the Solana network, further increasing its overall market share.
This makes Solana an ideal platform for developers seeking opportunities in the growing DeFi and crypto app space. Recent developments, such as the rise of Pump.fun, a crypto app that became the fastest-growing app on the Solana network, showcase the platform’s potential. Pump.fun reached $100 million in revenue in just 217 days, with an annual revenue run rate of $348 million.
DePIN Growth on Solana
Another area where Solana is making strides is in the DePIN (Decentralized Physical Infrastructure Networks) sector. By crowdsourcing infrastructure costs, the Solana blockchain has become more scalable and efficient. Projects like Hivemapper have mapped 28% of the global road network at a significantly lower cost, while Helium, which has over 20,000 devices on its network, is helping US carriers expand their coverage.
Solana’s Market Performance and Price Outlook
As of November 15, 2024, Solana (SOL) was trading at $209.22, reflecting a 4.10% increase in the last 24 hours. Despite this recent growth, SOL’s trading volume has seen a 31.65% decrease, dropping to $7.37 billion. Additionally, Solana’s market capitalization has experienced a slight dip, falling by over 4% to $99.05 billion.
Key Metrics to Watch
- Current Price: $209.22
- 24-Hour Change: +4.10%
- Trading Volume Decline: -31.65%, now at $7.37 billion
- Market Cap: $99.05 billion, down by over 4%
Conclusion: Solana’s Growing Influence in the Crypto Market
Solana’s resurgence in DeFi, along with its growing market share and increasing on-chain activity, has positioned it as a strong competitor in the blockchain space, challenging Ethereum’s dominance. With impressive milestones in trading volume, the rise of the DePIN sector, and a growing developer ecosystem, Solana is well-poised to continue its upward trajectory in 2024.
As Solana’s network becomes more efficient and scalable, it is likely to see even more adoption, making it a blockchain to watch closely in the coming months. For investors, developers, and users alike, Solana’s future looks bright as it continues to expand its reach and capture more market share in the crypto and DeFi space.
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