How Solana Meme Token BONK Sharp Selloff Will Impact SOL Price?

Solana price has rallied nearly 40% in a week amid the hype regarding Solana’s first meme token BONK. Meme token BONK relies on the airdrop to Solana NFT, anti-Alameda Research sentiment, and the revival of Solana DEX culture to improve the community. Will this Solana rally sustain despite the selloff in BONK tokens airdropped to Solana users?

Solana Price Rally Amid BONK Token Hype

Solana suffered massive negative sentiment due to relations with Alameda and FTX founder Sam Bankman-Fried. The Solana price even saw massive selloffs in the last few weeks. However, the airdrop of Solana’s first meme token BONK lifted the SOL token as the meme token was compared to Dogecoin and Shiba Inu, which recorded massive rallies during the bull market.

BONK witnessing the highest trading volume in the Solana ecosystem after USDC and SOL in the past 24 hours. Several crypto exchanges such as Huobi and MEXC Global also surprisingly announced listing the meme cryptocurrency amid the rising community interest.

However, the top 20 holders of BONK accounted for about 50% of the total supply, as per a Dune dashboard. Moreover, BONK DAO accounted for 15% of the total supply and a substantial part was obtained from airdrops at zero cost. Thus, the possibility of a sharp sell-off is higher and could occur at any time.

Also, a broader acceptance from the NFT market should be considered as it is the driving factor behind the BONK token rally. A sharp selloff by BONK holders may cause the SOL price to dive again to $10.

Also Read: Solana (SOL) Price Spikes As Dogecoin Killer BONK Gains Hype

SOL Price Skyrockets Over 15% in 24 Hours

Solana price currently trades at $13.66, up over 15% in the last 24 hours. Solana’s 24-hour low and high are $11.72 and $13.94, respectively. As per CoinGape analysis, Solana price may struggle to surpass the $15 barrier, but the $15 breakout could encourage SOL to a more 20% rise.

Meanwhile, BONK price soared over 50% in the last 24 hours, with the current price trading at $0.00000142. The 24-hour low and high are $0.000000854 and $0.000001477, respectively.

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Varinder is a Technical Writer and Editor, Technology Enthusiast, and Analytical Thinker. Fascinated by Disruptive Technologies, he has shared his knowledge about Blockchain, Cryptocurrencies, Artificial Intelligence, and the Internet of Things. He has been associated with the blockchain and cryptocurrency industry for a substantial period and is currently covering all the latest updates and developments in the crypto industry.