Will the recent pump in Solana (SOL) prices ignite a new meme coin frenzy within the Solana ecosystem? This question is on the minds of many crypto enthusiasts as several Solana-based meme coins have started to follow the trajectory of their parent blockchain.
While top cryptocurrencies like Bitcoin and AI-focused tokens rallied following yesterday’s favorable Consumer Price Index (CPI) report, Solana meme coins initially lagged behind. However, today’s 13% surge in SOL prices seems to have sparked a ripple effect, with meme coins like Bonk (BONK) rising 7%, Bome (BOME) gaining 16%, and dogwifhat (WIF) trailing with a modest 2% increase.
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Show more +Price Action Correlation Between BONK and dogwifhat (WIF)
This price action is not surprising, given the historical correlation between Solana’s performance and the fortunes of its meme coin ecosystem. Between September and December of last year, when SOL spiked by 600%, Bonk skyrocketed by more than 14,000%. Many other projects within the Solana community also experienced massive gains during this period.
Similarly, during January and March, when Solana rose by 160%, WIF saw a 5000% spike in value. These historical data points suggest that a sustained rise in Solana’s price could potentially trigger a meme coin rally within its ecosystem. As the parent blockchain continues to gain momentum, its associated meme tokens may follow suit, capturing the attention of investors and traders alike.
While the meme coin phenomenon has been met with skepticism by some, its ability to generate substantial returns cannot be ignored. The interplay between established blockchains like Solana and their meme coin offshoots will undoubtedly be a fascinating dynamic to watch.
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