Transaction volumes on the blockchain have surged notably higher compared to the levels observed throughout 2023 and the majority of 2022.
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There has been a significant increase in monthly transaction volume on the Solana blockchain in January
With two days left until the end of January, The transaction volume of Solana and SPL tokens on the Solana blockchain reached a total of $951.9 billion in January alone. The volumes represent a 30% rise in economic throughput on the network from December’s volume of $735.8 billion, which was a multi-month high at the time.
The increase in transaction activity on the blockchain exceeds the levels observed in 2023 and the majority of 2022.In September 2023, the transaction volume on the Solana network dropped to as low as $40 billion.
Did it Affect The Solana Price?
On Monday, Sol rose back above the $100. The explosion in trading volumes seems to have been driven by $WEN token pairs. According to data on Dune Analytics, the top five DEX trading slots in the past 24 hours are made up by stablecoin-SOL, stablecoin-WEN, and SOL-WEN pairs.
This week, $WEN was airdropped to users of Solana’s Jupiter decentralized exchange. The airdrop was also open to users of the Solana Saga phone, and owners of certain Solana-based NFT projects.
Over the past 24 hours, SOL price volatility has led to a substantial liquidation of short positions on centralized exchanges. The volatility resulted in the liquidations of around $9.9 million, with the vast majority (almost $8 million) being short