Solana had an eventful week, during which it saw record interest in the cryptocurrency and solidified its position as the 7th-largest cryptocurrency in the world. Let’s take a look at some of the biggest updates about Solana over the past week.
Jason Derulo’s Solana Investment Pays Off
Singer Jason Derulo has revealed that he invested in Solana in June and that his investment paid off very well with Solana’s meteoric rise in recent weeks. Derulo took to Twitter to express his delight over the developments tweeting,
“I betted on Solana in June. Wow, what a ride! #crypto.”
While Derulo did not reveal the exact amount he invested or what other cryptocurrencies he had invested in, one thing is clear that he has made a significant profit. In June, Solana was trading at around $25-$41 before seeing a stellar rally that saw it break into the top 7 cryptos and reach an all-time high of $150 on 4th September.
JPMorgan Describes Crypto Markets As “Frothy”
JPMorgan expressed its concern regarding the recent gains made by cryptocurrencies such as Solana, Ethereum, Bitcoin, and Cardano, with the crypto market reaching $2.3 trillion market capitalization, with altcoins controlling 59% of the market capitalization.
JPMorgan described the prices as frothy to clients, warning that the high prices do not reflect actual valuations. Bank analysts, in a note to clients, wrote,
“Cryptocurrency markets are looking frothy again,” wrote the bank analysts in a note to clients. The share of altcoins looks rather elevated by historical standards, and in our opinion, it is more likely to be a reflection of froth and retail investor ‘mania’ rather than a reflection of a structural uptrend.”
JPMorgan’s observations come at a time when Bitcoin’s price rose up to $50,000, with Ethereum and Cardano up 66% and 11%, respectively. Solana was the biggest gainer of them all, gaining 66% over the previous week and gaining 200% since August.
Solana CEO Allays Fears Over Another Crypto Bubble
With the price of crypto assets steadily climbing, thanks in part to Solana’s native token tripling in value over the last month to reach a market capitalization of $40 billion. With fears of another crypto bubble, Solana founder and CEO Anatoly Yakovenko stated that he does not believe that the world is seeing another crypto bubble, stating,
“This is a really different time in the space than any other. So it’s not really comparing it to bubbles. The 2017 bubble, it came and went, and there was three years of people building stuff. And now we’re at the point where we built the [infrastructure] that enables new engineers, new developers, to come in and quickly iterate.”
He believes that the crypto space has moved past the talking and white paper phase. Yakovenko is not concerned about the high price of SOL and other cryptocurrencies because the products are now becoming useful. He also stated that he is not concerned about the sustainability of NFTs stating,
“The sustainable part is that you have creative people that come up with new ideas, looking at the past and remixing them and building something new.”
Interest In Solana Increases by Over 350%
With the surging increase in the price of Solana, interest in the cryptocurrency has also seen a significant increase on Google, drawing interest from several corners of the globe. Data from the Google Trends platform has thrown up some interesting facts, chief among them being the interest in Solana. The interest in the keyword “Solana” has increased by 354%, with the surge in interest coming as a result of Solana’s price movements in the market.
There are several factors that could be contributing to the increasing interest, with Solana’s foray into NFTs emerging as one of the biggest reasons. The Degenerate Apes NFT also played a significant role in shoring up interest in Solana, along with the Global Solana Hackathon. The competition takes place in October and allows participants to develop and create blockchain-based games, art, digital collectibles alongside decentralized lending platforms that have been built on the Solana blockchain.
Solana Is Now The 7th Largest Cryptocurrency.
Solana’s astonishing bull run has resulted in it becoming the world’s 7th largest cryptocurrency in terms of market capitalization. According to data on TradingView, Solana broke past the $140 level on 3rd September and eventually settled at around $145.92, an intra-day and all-time high for Solana. This surge allowed Solana to leapfrog Doge and become the 7th largest cryptocurrency.