Solana Spike in On-chain Transfer Volume, Peaking around $224 Billion in a Single Day
Solana unprecedented spike is channel through a single highly active wallet utilizing multiple accounts
Solana (SOL) experienced a massive spike in on-chain transfer volume, peaking at an astonishing $224 billion in a single day,
The latest milestone is significant as the figures represents nearly a three-fold increase over the entire market capitalization of $SOL ($76 billion) within 24 hours.
The unprecedented activity was fueled by a single, highly active wallet utilizing multiple accounts. This wallet, suspected to be an arbitrage bot, significantly ramped up its activity in early October, likely contributing to the fee increases that became a topic of discussion among Solana users.
While the exact reasons behind this massive transfer volume remain under analysts’ investigation, the event highlights the volatility and dynamic nature of blockchain ecosystems.
The use of automated arbitrage strategies can drastically impact network activity, illustrating the importance of understanding the intricate mechanisms driving on-chain movements.
Glassnode, a leading provider of on-chain analytics, has taken a critical step in this direction, launching the first phase of its Solana support.
Furthermore, the initiative introduces new metrics for address activity and transfers, enriching their cross-chain insights and providing invaluable data for understanding the intricacies of leading ecosystems like SOL’s.
Solana Leverage On-chain Activity Surge
On October 29, Solana (SOL), experienced a 9% decline over the past two days, following a seven-week peak of $161.80. This dip coincided with a broader crypto market downturn, which saw the altcoin market cap shrink from $800 billion to $739 billion.
However, despite the recent price correction, Solana’s ecosystem is experiencing robust on-chain activity, suggesting a potential rally towards its next key resistance level of $186.
Data from dAppRader reveals a surge in on-chain activity across various decentralized finance (DeFi) protocols on Solana. Marinade Finance, a DeFi staking protocol, recorded a substantial 65.9% increase in volume, reaching $209.91 million. Pump.fun, a platform for tokenized content creation, witnessed a remarkable 93.06% surge in volume, reaching $197.42 million.
Jito, a platform for on-chain community management, also demonstrated steady growth, experiencing a 4.86% increase in volume to $159.49 million. Jupiter Exchange, Solana’s leading decentralized exchange aggregator, saw a 21.68% increase in volume, reaching $63.61 million.
