Solana (SOL) cryptocurrency is now more capitalized than Ripple (XRP).
SOL is now the fifth largest cryptocurrency on the market by market capitalization with the TVL of the Solana network exceeding $1 billion again.
SOL overtakes XRP in the ranking of most capitalized cryptocurrencies
Solana Coin Index SOL is up +11% in the last 24 hours and is now above $87. Which led to an increase in its capital to $37.3 billion.
For comparison, Ripple (XRP) has seen a slump, rising +0.4% over the past 24 hours.
The trend also extends over several days: during the week, SOL shows +19%, while XRP falls by -2%.
Thus, SOL has become the fifth most important cryptocurrency at the moment in terms of market capitalization. It is preceded in the first four places by:
- Bitcoin (BTC).
- Ethereum (ETH).
- Tether (USDT).
- Binance coin (BNB).
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How do we explain the development of Solana (SOL)?
We can already see that the decentralized finance (DeFi) ecosystem is thriving on Blockchain.
For the first time since November 2022, the total value locked on Solana has already exceeded $1 billion.
Decentralized exchanges – like Orca – have also seen a significant increase in their volumes.
The latter thus processed more than $740 million in transactions in one day, December 15.
This is largely due to the meme coins that are currently generating excitement on the Solana network.
For example, BONK saw an impressive breakout, gaining +14,000% between October and mid-December.
Currently, Dogwifat (WIF) is seeing a +907% increase on the week. Hence, meme coins are booming on the blockchain.
Solana phones, after unenthusiastic initial sales, also saw their prices rise significantly on the secondary market.
The ecosystem is currently in turmoil. Will this still be the case when enthusiasm for meme coins declines?
However, the price of SOL, which had returned to its price level before FTX’s surprise bankruptcy at the end of October, rose sharply in November and December without any real leverage and with market depth at its lowest levels.
Caico recently noted that the Solana blockchain, which was previously backed by FTX, has “remained resilient” despite the exchange’s bankruptcy last year.
While Solana sales to repay FTX creditors have not yet prevented the coin’s price from continuing to increase.
