Amid the growing NFT and DeFi usage, Solana continues its rapid rise and dethrones the leading meme coin: SOL has multiplied its value in the past few weeks, increasing by 300% in the past 30 days. Solana is now the seventh largest cryptocurrency by market capitalization, displacing Dogecoin from its place.
SOL, the native cryptocurrency of the Solana blockchain, has moved up another place and is now seventh on the list of the most valuable cryptocurrencies by total market capitalization. This is shown by data from CoinGecko. Solana has overtaken the leading meme coin Dogecoin (DOGE).
Solana has seen an incredible increase in value in the last few weeks, the coin has increased by over 300% in the last 30 days. During that time, Solana has repeatedly hit new highs, from around $ 35 per coin on August 1 to a new high of over $ 136 on Tuesday. Solana has grown by 23% in the last 24 hours, which continues the rapid increase of recent times. The cryptocurrency crossed the $ 100 mark for the first time on Monday.
Dogecoin sees mixed performance
Dogecoin, on the other hand, has shown a mixed performance lately. According to CoinGecko, the DOGE price has increased 46% in the last 30 days, but only about 7.5% in the last week. DOGE may have surged faster than some competing coins as the broader cryptocurrency market began to rebound in late July. However, DOGE is a historically volatile cryptocurrency. It tends to swing more in both directions than coins like Bitcoin and Ethereum.
The price of Dogecoin has still risen massively since the beginning of the year. From $ 0.0055 on January 1st to a current price of over $ 0.29. That’s a 5,200% increase, noting that Dogecoin is still nearly 60% off its high of $ 0.73, which it hit in May. Solana’s market cap (or the total number of coins multiplied by the current price) is now $ 39.2 billion – compared to $ 38.7 billion for Dogecoin.
Solana is seen as an emerging competitor to Ethereum, which is currently the leading smart contract platform. Smart contracts are bits of code that execute certain instructions and they power decentralized applications (Dapps), decentralized financial protocols (DeFi) and NFT crypto collectibles alike.
Ethereum is battling chronic constipation
Although Ethereum has a huge lead among smart contract blockchains, the network is often congested. This is driving up gas fees for transactions – especially amid the current NFT boom. Additionally, Ethereum’s current proof-of-work mining model is consuming a lot of energy, despite the fact that it will move to a more efficient proof-of-stake system with the upcoming Ethereum 2.0 network upgrade.
Solana was developed from the start as a more energy-efficient proof-of-stake blockchain, offering fast transaction times and low fees. The rise in the price of the SOL token over the past few weeks is partly due to the growing DeFi and NFT activity on the platform. This suggests broader acceptance by developers and users.
Nevertheless, the blockchain newcomer and alleged “Ethereum killer” is far behind its established rival in terms of network activity. According to data from DeFi Llama, DeFi logs on Solana currently have a value of $ 3.6 billion stored in their smart contracts. Ethereum-based DeFi protocols, on the other hand, have stored $ 126 billion worth of assets.
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