SOL rises to 2-year highs as Solana memecoins take the stage

Solana Crypto 1
  • Solana rises to USD $144 amid renewed memecoin frenzy
  • Solana native Dogwifhat surged over 100% this week and BONK also rose in price
  • Meanwhile, a handful of tokens inspired by celebrities and politicians appear on the Solana network

As Bitcoin (BTC) climbs towards new all-time price highs, some of the top cryptocurrencies in the market are also largely benefiting from the bull run to revisit peaks not seen in several years.

SOL, Solana‘s native cryptocurrency , is one that has notably surged this week to hit two-year highs. On Tuesday, Bitcoin‘s momentary rally above $69,000 boosted several major altcoins , including Solana, which rose to a height of $139, last recorded in January 2022.

Shortly after ascending to new record heights, BTC retreated in price, erasing gains and sparking a broader correction in the cryptocurrency market. Although the flagship cryptocurrency has not recovered the historical mark, SOL has resumed its upward trajectory and this Thursday it reached an even higher level.

Amid an 8% rise on the day and erasing Tuesday’s losses, SOL reached USD $144, its highest price since the beginning of 2022 , according to data from CoinMarketCap.

Solana daily price chart on March 7, 2024. Source: CoinMarketCap

The price surge came after a surge in trading volume on Wednesday, when $9.5 billion worth of SOL was traded, as noted by Decrypt. According to that medium, this is the fourth highest daily trading volume for Solana, and all of the previous ones were observed in September 2021, in the middle of the previous bullish cycle.

Memecoins in the Solana  spotlight

Solana has seen a 50% increase in the month amid a renewed frenzy for memecoins based on that blockchainSolana‘s two largest meme tokens by market capitalization, Bonk (BONK) and Dogwifhat (WIF), have racked up meteoric gains this week in the triple figures.

BONK, which became extremely popular at the end of 2023, records a 30% price increase in the week while Dogwifhat has surged more than 120% in the same period. The puppy in a hat token more than doubled its price this week reaching a new all-time high after being listed on the Binance exchange .

Together, the two dog-themed meme coins recorded a joint trading volume worth more than $1 billion yesterday, as Decrypt noted, citing data from CoinGecko.

Beyond these well-known memecoins , the Solana ecosystem has also recently seen the emergence of new cartoonish tokens based on notable politicians and celebrities, which could also be favoring SOL’s bullish momentum.

Jeo Boden (BODEN), a token apparently inspired by US President Joe Biden, surged 830% in a six-hour period on Wednesday morning, as daily volume soared to over $23 million, CoinDesk reported. citing data from the same price tracker.

The publication noted the appearance of a series of similar tokens based on figures such as Elon Musk, Kanye West and Donald Trump. Some of these cryptocurrencies are TREMP and DANOLD, also based in Solana. Possibly the creators of these nascent memecoins seek to take advantage of events such as the US presidential campaign or the fame of these figures to attract funds and capitalize on profits amid the current bull run in the cryptocurrency market.

The lack of real utility and the purely speculative dynamics that surround these projects are usually accompanied by high volatility. Frequently, these tokens skyrocket and then quickly drop in price. In any case, for now, this boom seems to be benefiting Solana, which is approaching new multi-year records.

SOL is trading at USD $143.3 at press time, still 44% below its all-time price high of USD $258.7 recorded in November 2021, during the peak of the previous bull cycle.