Solana, the blockchain network hosting Bonk, has experienced an impressive run in 2023. Earlier this month, SOL saw a remarkable 50% jump in just a few days, indicating a strong bullish trend.
The crypto market is seeing another boom in the altcoin space as Solana-based memecoin, Bonk (BONK), witnessed a 40% surge in the past 24 hours following the announcement of its listing on the prominent exchange, Coinbase Global Inc (NASDAQ: COIN). This development positions BONK as the third-largest meme coin on the platform, trailing behind the giants Dogecoin (DOGE) and Shiba Inu (SHIB).
BONK’s Listing on Coinbase and Market Impact
The announcement from Coinbase propelled BONK’s price to reverse nearly all losses from the previous week. Trading at $0.000014 this morning, Bonk’s trading volume surpassed $235 million since the announcement, showcasing the enthusiastic response from the market.
Coinbase hinted at a cautious approach, stating that trading on BONK-USD trading pairs would launch in phases.
“Once sufficient supply of this asset is established, trading on our BONK-USD trading pairs will launch in phases,” the exchange said in a statement. Additionally, there may be restrictions on BONK support in certain jurisdictions.
Originally conceived as a meme coin, Bonk quickly found traction within the Solana ecosystem in the aftermath of Sam Bankman-Fried’s challenges. Various Solana projects integrated the token for Non-Fungible Token (NFT) payments, and some even utilized “burn” mechanisms for NFT-based events in the weeks following its December launch. Despite its meme origins, Bonk has been taken seriously, with a team of 22 individuals working collaboratively, eschewing a singular leader model.
The token’s success may be attributed to the growing interest in the Solana ecosystem, which has seen a surge in market capitalization from $50 million to a staggering $800 million since October. Moreover, Bonk has expanded its visibility by securing listings on major centralized exchanges like Binance and KuCoin, contributing to increased transaction volumes, demand, and ultimately, its price.
Despite the setbacks faced by the Solana ecosystem with the collapse of the now-defunct FTX Derivatives exchange, BONK’s adoption signaled a resurgence of interest in the network. Moreover, futures data reveals a substantial increase in open interest over the past month, indicating heightened trading activity in Bonk derivatives.
This increased volatility has been a driving force behind BONK’s remarkable 6000% gain over the last three months, making it the most performing mid-cap memecoin during this period
Solana’s Performance and Future Outlook
Solana, the blockchain network hosting Bonk, has experienced an impressive run in 2023. Earlier this month, SOL saw a remarkable 50% jump in just a few days, indicating a strong bullish trend.
As highlighted in an earlier report by Coinspeaker, the Solana ecosystem is gaining traction among traders, as indicated by its Total Value Locked (TVL) and the healthy growth of the majority, if not all, of its projects.
According to a report from VanEck, the bullish case for Solana extends into the future, with predictions that the platform could host an application with over 100 million users and SOL holder revenues reaching $8 billion by 2030.
MarketWatch data supports this positive outlook, with SOL climbing over 87% in the last month and an astounding 178% in three months. Over the past year, Solana has gained more than 396%, and its year-to-date gains stand at an impressive 473%.
