Solana (SOL) Now Among the Most Liquid Altcoins on Coinbase: Kaiko

Sunil Sharma
August 17, 2023
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
solana news price

Solana (SOL) has surged to become one of the most liquid altcoins on the leading crypto exchange Coinbase, according to recent findings by market intelligence firm Kaiko. The token boasts over $3 million in liquidity, overshadowing prominent altcoins like DOGE, XRP, and Matic. Despite the recent 6% drop in Solana price amid market-wide pessimism, SOL’s solid fundamentals and introduction of a tokenized version of Bitcoin on the Solana network signal promising times ahead.

Advertisement
Advertisement

Surpassing Competitors in Liquidity

Liquidity refers to the ease with which an asset can be converted into ready cash without affecting its market price. The more liquid an asset is, the more efficiently it can be transformed into cash. 

SOL’s superior liquidity on Coinbase makes it an attractive investment option, as it can easily be bought or sold without causing significant price fluctuations. With over $3 million in liquidity, SOL has surpassed DOGE, which has just above $2 million, and XRP and Matic, which each have just over $1 million.

Sol Price

Altcoin liquidity chart on Coinbase, Source: Kaiko

Despite its liquidity advantage, Solana has not been immune to the broader market’s recent downturn. The Solana price has declined by 6% to $23.39, resulting from speculation that the SEC will delay its decisions regarding Bitcoin ETF applications until 2024. Over the past week, SOL has lost 5%, down 15% in the past month. However, despite this short-term setback, SOL remains fundamentally strong.

Advertisement
Advertisement

A Glimpse of Optimism for Solana

There are plenty of reasons for optimism regarding Solana’s future. A major highlight is the recent launch of a tokenized version of Bitcoin, known as tBTC, on Solana’s network. Like Wrapped Bitcoin (WBTC) on Ethereum, tBTC will allow BTC holders to utilize their Bitcoin value across various DeFi platforms and applications, increasing usage for Solana.

Solana has been steadily recovering this year after a challenging 2022 marked by network outages. The network now boasts a consistent 100% uptime, and the introduction of new launches and use cases, like tBTC, is expected further to support Solana’s consistent recovery throughout the year.

Advertisement
coingape google news coingape google news
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

About Author
About Author
Sunil is a serial entrepreneur and has been working in blockchain and cryptocurrency space for 2 years now. Previously he co-founded Govt. of India supported startup InThinks and is currently Chief Editor at Coingape and CEO at SquadX, a fintech startup. He has published more than 100 articles on cryptocurrency and blockchain and has assisted a number of ICO's in their success. He has co-designed blockchain development industrial training and has hosted many interviews in past. Follow him on X at @sharmasunil8114 and reach out to him at sunil (at) coingape.com
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.