Following an impressive December rally in which Solana’s price increased by 120%, the crypto experienced a cooling-off period in the days following Christmas.
Solana briefly surpassed Binance’s BNB in market cap during the rally. During an impressive December rally, Solana’s market cap briefly surpassed that of BNB.
However, Solana entered a correction phase after Christmas, retracing from its yearly high of $123 to below $100. Solana is currently trading at $108, down approximately 13% from its peak.
BNB’s price has risen by 12%, allowing it to reclaim its position as the fourth-largest crypto by market cap, surpassing Solana. The volatile movement in market cap positions highlights the crypto market’s volatility and competitiveness.
Several meme coins based on the SOL blockchain, including Bonk (BONK) and Dogwifhat (WIF), saw significant price action during the Solana rally.
However, these meme coins have since dropped by more than 50% from their all-time highs, coinciding with the price correction of Solana.
Solana’s price increase was accompanied by increased network trading activity, briefly surpassing Ethereum in decentralized exchange (DEX) volumes.
However, Solana’s DEX volume has since dropped to $1.1 billion in the last 24 hours, which is roughly half of Ethereum’s $2 billion volume.
Despite the focus on Solana, Ethereum has posted a 5% weekly gain, leading traders and analysts to speculate that Ether may outperform its competitors shortly.
The crypto market is still experiencing dynamic shifts, and market participants are keeping a close eye on the performance of leading assets.
