Solana (SOL/USD) has been making waves in the cryptocurrency market, emerging as one of the top gainers among Layer-1 blockchains. In the past month, Solana has seen a remarkable increase of over 80%. Other Layer-1 cryptos that have performed well in the same period include Avalanche (AVAX/USD) with an 82% increase, Cardano (ADA/USD) with a 28% increase, and Tron (TRX/USD) with an 8% gain.
In contrast, Ethereum (ETH/USD), a competing Layer-1 token, experienced a 12% increase in the past month. Bitcoin, on the other hand, recorded a 9% increase and recently surpassed the $38,000 mark.
Solana’s market cap has seen a significant expansion of 3.9%, and its trading volume in the past 24 hours has surged by 81%. According to DefiLlama data, Solana’s total value locked (TVL) currently stands at $653.71 million, marking a 7.5% change in the past 24 hours. This is a substantial increase compared to the $149 million TVL reported in March 2021.
One of the reasons behind Solana’s success is its fast speed and affordable cost platform. It combines the Proof-of-History (PoH) consensus mechanism with the more common Proof-of-Stake. Solana is currently able to process 3,111 transactions per second, with a block time of 400 milliseconds.
The number of active addresses in the past 24 hours stands at 163,872, with a total of 39.42 million transactions. Overall, the blockchain reports 11.5 million active accounts.
Solana’s recent success can be attributed to several factors. In late October, the testnet launch of “Firedancer” was announced, a new validator that will push Solana’s throughput to one million transactions per second. Additionally, Solana was chosen for Visa’s cross-border payments project and introduced as a new payment option on the Shopify platform.
Notably, ARK Invest CEO Cathie Wood has expressed her preference for Solana over Bitcoin and Ethereum, stating that Solana is faster and more cost-effective than Ether.
The cryptocurrency market has seen significant inflows, with Solana’s inflows reaching $3.5 million. If Solana continues its upward trajectory, it could potentially breach the $70 mark, a price level not seen since May 2022.
In conclusion, Solana has emerged as one of the top gainers among Layer-1 blockchains, experiencing substantial growth in the past month. Its fast speed, affordable cost platform, and partnerships with major companies have contributed to its success. As the cryptocurrency market continues to evolve, Solana’s performance will be worth watching.
