With the recent Solana (SOL) price pump a staggering $5.86 million worth of Solana futures positions was liquidated over the last 24 hours.
Solana bulls are clearly in action once again as SOL price has jumped by 12% in the last 24 hours and is currently trading at $26.4 with a market cap of $9.9 billion.
Currently, SOL is the largest gainer among the top 50 cryptocurrencies by market cap. With today’s price surge, SOL has extended its weekly gains to more than 21% and is now the 11th largest cryptocurrency by market cap.
This is for the first time since the FTX collapse that Solana’s market cap has reached close to $10 billion. Following the FTX collapse, Solana had undergone a massive correction. This is because the crypto exchange used SOL as its reserve currency. However, they sold SOL massively in the open market in order to protect the native FTT tokens.
As per the data from Coinglass, a staggering $5.86 million worth of Solana futures positions were liquidated over the last 24 hours. But despite the recent price rally, SOL is still down by a staggering 90% from its all-time high of $259.96 in November 2021.
What’s Up Behind Solana (SOL) Price Rally?
The major catalyst behind Solana’s sudden price jump is the upcoming migration of the Helium network to the Solana blockchain. The Helium Foundation has proposed March 28, 2023, as the migration data to the Solana network.
Helium is a decentralized network of devices dubbed “hotspots” offering long-range connectivity for internet of things (IoT) devices. Thus, merging with Solana will allow Helium developers to add more hotspots instead of maintaining the blockchain. Helium decided to move to Solana due to the high throughput and scalable transactions. The Helium Foundation noted:
“With the ability to power thousands of transactions per second, combined with its massive ecosystem of developers, applications, and integrations, Solana has the speed and scale necessary to take on the blockchain responsibility while the Helium core developers and community can focus on building wireless protocols and enabling utility on these networks.”
In addition to the major update with Helium migration, another reason behind today’s rally could be the strong NFT activity seen on the Solana blockchain. Over the last 24 hours, the Solana-based NFT sales have shot up by 12.68% to $2.63 million. during the same period, Ethereum-based NFT sales plummeted by 10.57%.