Journalist
Posted:
- A trader turned $900 into $3.47 million trading a Solana-based meme coin.
- Solana’s TVL hit $1.48 billion amid increasing liquidity.
Solana’s [SOL] resurgence this year has not been limited to the price action alone. The entire Solana ecosystem has helped traders post major gains, as shown by a Lookonchain update.
One of the areas Solana has thrived is in terms of meme coins built using the blockchain.
It’s meme season on Solana
The emergence of several memes has turned a few thousand into millions for traders willing to take the risk. However, it is also important to mention that some risk-takers have been rug pulled on the same ecosystem.
According to Lookonchain, one trader turned $900 into a whopping $3.47 million within five days, thanks to a meme coin called ANALOS.
The carnival on #Solana is still going on!
A trader turned $900 into $3.47M by trading $ANALOS on #Solana in 5 days.
A gain of over 3800x!😱
The trader spent 12 $SOL($900) to buy 2.6B $ANALOS 5 days ago, then sold 1.45B $ANALOS for 1.43M $USDC.
He is selling $ANALOS currently… pic.twitter.com/53HrK2KyPR— Lookonchain (@lookonchain) December 25, 2023
However, ANALOS is not the first meme coin to give Solana traders such profits. The likes of Bonk [BONK], MYRO, and POPCAT have also had their fair share of dominance.
Meanwhile, AMBCrypto checked trading aggregator Birdeye to see what was going on with the Solana ecosystem.
According to what we gathered, meme trading activity was very present in the blockchain. Also, there were a bunch of memes emerging, such as COPE, GFY, and DARK.
The interesting part is that some of these tokens were following in ANALOS’ path. However, traders will do well to confirm if these tokens are not scams, as some have been deemed to be.
Careful with the excitement
As a result of these moves, trust has returned to Solana, as evidenced by the Total Value Locked (TVL).
A few months ago, Solana’s TVL was worth hundreds of millions of dollars. But at press time, DeFiLlama showed that it had grown to $1.48 billion.
This growth, a 47.63% increase in the last seven days, was also the highest performance out of the top 10 within the said period.
Source: DeFiLlama
The TVL is an indicator of a project’s health. When the value decreases, it means market participants are refraining from locking assets on a protocol.
However, Solana’s TVL performance suggests that players trust the project enough to deposit liquidity for increased yield.
How much are 1,10,100 SOLs worth today?
Situations like this were also one of the reasons Solana beat Ethereum [ETH] in terms of DEX volume. As it stands, it is likely for traders to start looking for the next gem on Solana, besides the native token.
At the same time, it is not guaranteed that any of these memes would replicate the performance of BONK, MYRO, or ANALOS.