"Memecoin Trading Explodes Again"...Solana (SOL) Aims to Reclaim $90

▲ Solana (SOL)

Solana (SOL) surged to a 30-day high of $83, buoyed by a resurgence in memecoins, a sharp increase in prediction market activity, and the expansion of tokenized assets. However, as bullish leverage demand quickly cooled, market confidence ahead of reclaiming $90 actually weakened.

According to crypto media outlet Cointelegraph on July 3 (local time), Solana's uptrend began in earnest on June 23. This coincided with the cumulative transfer volume of tokenized stocks within Solana surpassing $10 billion. Backpack's launch of SpaceX stock trading also contributed to the expanded use of decentralized finance. During the same period, the overall altcoin market fell to its lowest level since December 2023.

The volume of tokenized assets on the Solana network jumped from $2.7 billion a month ago to an all-time high of $3.5 billion last Wednesday. Corporate credit tokens and assets related to the S&P 500 and Nasdaq 100 indices led the increase. According to RWA.xyz, Solana's active addresses in the tokenization industry reached 294,274, surpassing Ethereum (ETH)'s 204,955.

The memecoin market also heated up again. The Black Bull (ANSEM), launched on Pump.fun, rose to a market cap of $60 million after its airdrop, with 74,000 addresses participating in the initial three days. PUMP surged 27% in a week, returning to the top 100 cryptocurrencies by market cap with $630 million. ANSEM's market cap also reached an all-time high of $112 million on Friday.

The expansion of prediction markets also raised expectations for increased network activity. The World prediction market, integrated into the Phantom wallet, secured approximately $890,000 in total deposits within two days of its launch and aims to compete with Polymarket amid the World Cup betting frenzy. Jupiter also unveiled its prediction market beta test on June 29.

However, the enthusiasm in the derivatives market quickly cooled. Solana's annualized funding rate for perpetual futures dropped from 11% two days ago to 3% on Friday, falling below the neutral range of 6-12%. Cointelegraph pointed out that not many investors are willing to bet on a $90 rise based solely on temporary memecoin demand, emphasizing the need for sustained demand for blockchain activity.

[Article Summary]

-Solana rose to a 30-day high of $83 amid the expansion of tokenized assets, memecoins, and prediction market activity.

-Solana's tokenized assets hit an all-time high of $3.5 billion, and active addresses reached 294,274, surpassing Ethereum.

-The annualized funding rate for perpetual futures plummeted from 11% to 3%, weakening bullish leverage bets for a further rise to $90.

*Disclaimer: This article is for informational purposes only and does not constitute investment advice. We are not responsible for any investment losses incurred based on this information. The content should be interpreted solely for informational purposes.*