Key Takeaways:
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Solana’s DEX volume exceeds Ethereum’s, but the overall activity remains below the levels visible in January.
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Hyperliquid’s dominance over eternal trade in futures weakens the trust of investors in Solana’s long -term lead.
Solana’s native token (Sol) declined 15% from failing to obtain the $ 168 level on June 12. This Bearish movement complied with a period of reduced network activity and weakening demand for memecoins.
Recently, however, Solana took the second position in decentralized exchange volumes (DEX), raising questions to entrepreneurs about the potential Sol’s potential to get the $ 180 level in the near term.
Dex’s activity in Solana reached $ 64.1 billion in 30 days, exceeding Ethereum’s $ 61.4 billion, according to DefilmaMa data. While the BNB chain maintained the top area of $ 159.6 billion at the same time, Solana gained market sharing throughout June.
The major contributors to this growth include Raydium, with $ 19.1 billion in volume, followed by pump.fun with $ 14.2 billion and Orca to $ 13.9 billion. However, the general dex activity in Solana remains 91% below January levels.
The appeal of the Memecoin sector continues to fade, with most tokens losing 25% or more in the last 16 days. Giga dropped by 42%, PopCat 35%, Fartcoin and PNut both 31%, while Bonk and Wif each refused 25%. These losses are dazzling in enthusiasm about Solana’s Rising Dex Market share.
Another concern for Sol investors is the Hyperliquid increasesthat appeared as the dominant blockchain for eternal trading. This shift has reduced interest in both the Ethereum layer-2S and standalone decentralized application (DAPPS) in Solana and BNB chain.
According to Defillama, the 30-day hyperliquid trading volume is 84% higher than the combined sum of its five largest competitors. More significant, its success has fueled speculation that other projects can launch their own independent blockchains, which potentially include major DAPP-based Solana-based Dapps such as Pump.fun.
This fear has weakened entrepreneurs’ belief that Solana could be a dominant player. The loss of confidence can be seen in the derivatives markets, where demand for long solutions to the SOL is reduced.
In a neutral market, eternal futures usually show an annual funding rate of 5% to 12% for long position. When this rate becomes negative, it implies bearish sentiment because shorts pay to maintain their trade. Over the past 30 days, the derivatives data have shown no long -term optimization for Sol.
The largest potential catalyst for Sol remains Possible approval of a Solana Spot Exchange-Traded Fund (ETF) by the US Securities and Exchange Commission, with a decision expected in October. Until then, bulls rely on the technical strengths of the network to support price recovery.
Related: US Crypto ETF Approval Odds Surge on ‘90% or Higher ‘ – Bloomberg Analysts
Davo, from the Drift Protocol, noted that Solana’s solid base layer supports “having an asset,” which means that tokens can be natively used as collateral. He also emphasized the absence of a “offchain matching engine,” which helps protect DEX users from repairing the transaction or prioritization.
Despite its interaction with the launch of Memecoins and Tokens, Solana’s ecosystem has greater cases of use. And while hyperliquid can be a more vague, other upstart blockchains, such as Berachain, have failed to maintain significant deposit levels. Considering Solana’s low fees and high scalability, returning to the $ 180 mark may occur even before the ETF decision in October.
This article is for general information purposes and is not intended to be and should not be done as legal or investment advice. The views, attitudes, and opinions expressed here are unique and do not necessarily reflect or represent the views and opinions of the cointelegraph.
