The considerable drop in prices eventually troubled a great number of investors as they suffered major losses. As of now, things have started to look increasingly positive for Solana (SOL) investors. At the time of writing, Solana (SOL) is trading for approximately $12.99, signifying an increase of over 42.12% since last week. Moreover, Solana (SOL) has a total market cap of $4.77 billion. The token has continuously been on the rise for the previous few weeks.
The after-effects of the FTX collapse have passed and the market is looking to recover. Keeping this in mind, Vitalik Buterin stated that the chain has a bright future. Furthermore, Buterin is hopeful that the chain would be offered decent attention and a fair opportunity to thrive. Previously in 2021, Solana (SOL) was considered to be a rising star during the year’s bullish market.
The network’s swift transaction times including an increased throughput earned it the recognition of many. Many crypto enthusiasts began referring to Solana (SOL) as the Ethereum Killer. Despite the initial success of the coin that year, things took a turn for the worse in 2022. The situation was further escalated as a result of the FTX collapse. Solana had close business times with the then-CEO, SBF. Solana (SOL) managed to lose approximately a whopping 96.94% of its total value and reached as low as $7.95 in December.
Why is Solana (SOL) Rising?
Despite the token witnessing a decrease in the volume of traded coins, the total percentage of NFT trading is still strong. Keeping this in mind, the protocol witnessed a great increase during Christmas. Since last month, Solana (SOL) has experienced NFT sales worth more than $77 million. At the same time, the protocol processed nearly 775,000 transactions as well.
It is believed that the surge in the coin’s value can be linked to the popularity of the BONK token. BONK can be described as a Solana-based doge meme that had attained significant momentum gained by the renowned meme coins. BONK managed to spark a sense of excitement in investors. As a result of this excitement, it became possible for SOL to recover. With the crypto winter looming in the market, the cryptocurrency still has a long way to go before it can be on its way toward a proper recovery.