Solana’s Memecoin Trading Volume Surpasses Ethereum, Highlighting Rivalry between Platforms for Dominance
In a battle for dominance in the world of memecoin trading, Solana has once again surpassed Ethereum in trading volumes. This fierce competition marks a significant shift in on-chain trading, reflecting the rivalry between the two platforms.
Solana first overtook Ethereum in trading volume on December 14, and since then, it has outpaced Ethereum’s volume on 11 different occasions. In a recent surge, Solana’s trading volume exceeded Ethereum’s, reaching an impressive $2 billion in just 24 hours.
Despite a decline in the creation of new tokens, established memecoins on Solana are experiencing significant price rallies. Solana generated $2 billion in volume, while Ethereum generated $1.8 billion in the last 24 hours. The blockchain with the next highest volume was BNB Chain, with $789 million.
Dexscreener reports that among the top 20 trading pairs, Solana’s memecoin volume reached $178 million, surpassing Ethereum’s $138 million over the past 24 hours. The top memecoins by volume on Solana in the last 24 hours include WIF, POPCAT, BONK, TRUMP, and WEN. All of these memecoins, except TRUMP, were launched over a month ago.
Memecoins, inspired by internet memes, pop culture phenomena, and viral trends, are gaining influence in shaping trading volumes and platform preferences. The intense competition between Solana and Ethereum reflects the dynamic nature of cryptocurrency markets.
While Solana’s boom in December was primarily driven by newly launched coins, especially memecoins, the situation has since changed. The number of newly created tokens on Solana in December peaked at 7,900, but today, only 2,500 new tokens were created on the platform. This highlights that trading volumes are now concentrated in already existing coins.
One notable memecoin, dogwifhat (WIF), which references a popular internet meme of a dog wearing a pink knitted hat, experienced a rollercoaster ride in its price. It reached an all-time high of $0.46 on February 14, dropped to $0.28 on February 23, and then rallied impressively by 571% to reach $1.88. Another Solana memecoin, BONK, also saw significant price gains, rising 51% in a day and reaching an all-time high of $0.000045. This surge gave BONK a fully diluted valuation of over $3.6 billion. Similar gains were observed with Ethereum memecoins last week, with some continuing their rally into this week.
The memecoin frenzy and the rivalry between Solana and Ethereum demonstrate the evolving landscape of cryptocurrency markets. As memecoins continue to shape trading volumes and platform preferences, the battle for dominance between these two platforms is set to intensify.
Analyst comment
Positive news: Solana’s memecoin trading volume surpasses Ethereum, highlighting rivalry between platforms for dominance.
As an analyst, it is likely that the market will see increased competition and innovation between Solana and Ethereum as they vie for dominance in the memecoin trading space. This could lead to further development and growth in the memecoin market and potentially attract more investors and traders to these platforms. However, caution should be exercised as the memecoin market can be volatile and subject to rapid price fluctuations.
