Bonk, the meme token that was launched on December 25, is turning heads and pushing up the price of Solana. SOL has gained 34% over the past 48 hours and Bonk surged 117% in the past 24 hours.
Traders have their hopes up high on Bonk to bring new opportunities during the ongoing slump. This is the first dog token on the Solana blockchain. About 50% of the token supply was airdropped to Solana users. The intention was to remove Alameda-styled token economics. As such, the airdrop resulted in more than $20 million in trading volume.
Liquid providers will benefit from interacting with Bonk. On January 3, Bonk burned 1 billion of its supply. Analysts highlighted that blockchains like Solana are benefiting from increased usage. Solana saw multiple projects leave its ecosystem since the collapse of FTX. But on January 4, it saw an 18.6% increase in 24-hour fees and 15.8% increase in 24-hour daily active users.
Moreover, SOL price surged above $14 on January 4 for the first time since December 14. This is being attributed to the new meme coin Bonk’s growth. The Dog coin’s increasing demand is positive for the Solana blockchain.