Solana (SOL) leads October’s crypto recovery, driven by increased user activity, rising transactions, and growing fees.
In the volatile realm of cryptocurrency, the month of October has marked a distinct turnaround for Solana (SOL). Outpacing leading giants like Bitcoin and Ethereum, Solana’s impressive recovery from its earlier lows has been fueled by a surge in user engagement and a notable increase in transactional volumes. This resurgence has solidified Solana’s position as a formidable contender in the crypto market.
Steady Growth in Daily Active Addresses
Recent analytics shared by respected crypto analyst Miles Deutscher with his following of 549,000 highlight a significant uptick in Solana’s daily active addresses over the past three months. The metric achieved a cutting-edge milestone of around 3 million active addresses by late August. Following a slight dip in early October, which indicated a temporary pause in momentum, the active addresses saw a remarkable rebound, ultimately hitting 6.2 million as reported by Deutscher.
Rising Daily Transactions
The Solana network has also seen a correlating rise in daily transactions, showcasing increased activity among its users. In early September, transaction volumes were relatively modest; however, as October progressed, a steady upward trend became evident. Transaction counts peaked at an impressive 45.2 million, highlighting vibrant network engagement alongside the surge in active addresses. This growth is indicative of a robust ecosystem that continues to attract users and developers alike.
Gradual Increase in Fees
In addition to soaring transactions, Solana’s network fees have also seen a gradual rise, reflecting the escalating activity levels. By mid-October, total network fees surged to approximately $2.3 million. This increase in fees not only underscores the intensifying transactional volume but also paints a picture of a thriving ecosystem. However, market analysts have likened Solana to being the “gambling chip of the AI casino,” a metaphor that highlights its speculative nature amid increased volatility.
Moreover, signs of transient bearish momentum were noted in early October when Solana was trading below its 34-period and 89-period exponential moving averages (EMAs). However, optimism prevailed among analysts who anticipated a breakout, projecting potential movements even when Solana was experiencing rates around $140. Surprisingly, as newly gathered data comes in, the cryptocurrency has soared to around $170, marking a commendable increase of over 14% in just two weeks.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
