As memecoin activity increases, Solana trading volume has reached its highest level in over a year.

Solana brush

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Daily trading volume is said to have exceeded $40 billion. The Block’s data dashboard. This is the highest since October 2022.

Meanwhile, economic throughput growth for tokens built using the SPL standard is at levels not seen since late 2022.

The value currently traded on Solana has surged 700% compared to the volume recorded in early December, when the 7-day moving average of volume was approximately $5 billion.

According to Nansen Research Manager Sandra Leow, “Solana-based transactions have increased from about 20 to 30 million transactions per day to now about 50 million or more.”

“We are also seeing Solana’s daily active wallets increase from approximately 120,000 in October 2023 to approximately 470,000 as of January 2024,” Leow told The Block.

Solana-based memecoin market activity increases

Data scientist Andrew Hong said The Block has on-chain analytics. This indicates that the main volume within the Solana ecosystem is driven by the three memecoins, following the SOL-USDT/USDC pair.

“You can see that most of the volume is driven by USDC, USDT, and SOL pairs, with the next three being meme coins,” Hong said, pointing to a recent Dune Analytics chart.

Solana ended 2023 as the best-performing altcoin. During the December cryptocurrency market rally, many Solana-based memecoins surged in value. For example, as of January, the Solana-based memecoin called BONK was up more than 7,000% from its price a year ago.

According to the data, after stablecoin pairings, the next group of SOL pairs by volume are Solana-based memecoins. Image: Andrew Hong Dune Analytics.

big profit

Reports have emerged on social media of successful Solana-based memecoin transactions resulting in large profits. One trader made $2 million after purchasing memecoins, according to blockchain analytics platform Lookonchain.

“Starting from 1.5 brushThis trader made $2 million in 22 days, a profit of 21,715x. ” Lookonchain Posted At X.

Although there have been success stories over the past month, Solana-based memecoin developer Tommy McKaughan said the memecoin market is a “volatile area and past success does not guarantee future profits.” Therefore, traders must be careful,” he emphasized.

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