- Solana ecosystem will see airdrops from projects like Jupiter, Marginfi, Drift, Zeta and Jito.
- Solana users are projected to increase between 30% and 80% from native token launches, according to Messari’s latest report.
- SOL price extends rally, yielding nearly 4% daily gains.
Solana ecosystem is set to experience a surge in activity from decentralized finance (DeFi) projects that offer users airdrops in the following months, according to a report from crypto market intelligence company Messari. A higher user base – together with the gradual increase in weekly active addresses on the layer 1 blockchain – benefits Solana (SOL) token’s valuation, which has risen nearly 4% over the last day and a whopping 59.20% in the last month.
At the time of writing, SOL price is $61.14 on Binance.
Rising activity in Solana could fuel SOL gains
Solana ecosystem is likely to experience a surge in activity in the upcoming airdrop season, when projects like Jupiter, Marginfi, Drift, Zeta and Jito will proceed with airdrops for qualified users.
Typically, network activity trends downwards after the completion of a successful ecosystem airdrop. However, SOL differs from this trend as it is already an established network token, the report said.
It's airdrop season for @solana DeFi.— Messari (@MessariCrypto) November 30, 2023
With only one official airdrop to date, and more coming along the way from Jupiter, Marginfi, Drift, Zeta, and JitoSol, we can expect an increase in liquidity and user engagement. pic.twitter.com/BZn3WiUT4j
Messari expects a consistent increase in the Total Value of Assets Locked (TVL) in the Solana ecosystem amid consistent DeFi activity.
Airdrop participants, long-term contributors and other users could add to the organic DeFi activity in the Solana network, fueling a bullish thesis for the asset and driving SOL price higher.
The report projects an increase of between 30% and 80% in Solana users from native token launches. The projected increase in daily users is an average of 160,000. The projection puts Solana nearly at par with daily users on the Polygon blockchain, as seen in the chart below.
SOL users may increase. Source: Messari
Key highlights of the report include a massive rebound in Solana’s TVL. The recovery in the total value of assets locked is significant when compared to the FTX collapse in November 2022. Solana’s TVL stood at $2.5 billion in November 27, up 405% since the FTX collapse.
Solana TVL change since the FTX exchange collapse. Source: Messari.
Weekly active addresses on the chain – another key metric to assess activity – has reached in the last couple of months levels previously seen prior to the FTX exchange collapse in 2022. This is a sign of recovery in the Solana ecosystem.
Solana weekly active addresses. Source: Messari
At the time of writing, SOL is trading at $61.14 on Binance, up nearly 9% in the past week and 4% on the daily timeframe. SOL price is likely to extend its gains on the back of upcoming airdrops and projected increase in activity.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.