This Week in Crypto: BONK Skyrockets, Solana ETF, and Will Bitcoin Die?

11 months ago 6

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Throughout this week, the crypto community members witnessed Bonk (BONK) rallying due to multiple exchange listings and Solana mobile phone sales increasing tenfold. Meanwhile, there are predictions that Solana will continue to outperform Ethereum.

During the week, the price of Bitcoin (BTC) consolidated between $40,200 to $44,000. Monday’s flash crash in Bitcoin to the $40,000 region caused heavy liquidations.

However, Solana’s meme coin – BONK, was the center of the attention.

January 2024: The Turning Point For Spot Bitcoin ETFs?

The anticipation of a spot Bitcoin exchange-traded fund (ETF) has resulted in this year’s BTC rally. In January 2024, the final decision on more than ten spot Bitcoin ETF filings is expected from the Securities and Exchange Commission (SEC).

Last week, Fidelity asset managers met with the officials from the SEC to discuss their ETF proposal. Fidelity is one of the largest asset managers in the world, with over $4 trillion in assets under management (AUM).

The SEC’s response date on Fidelity’s Bitcoin ETF filing is expected to be between January 5 and January 10, 2024. The final deadline for the SEC falls on January 15, 2024.

A Solana ETF Soon?

The broader crypto market focuses on the spot Bitcoin ETF, while some also discuss a spot Ethereum ETF. However, VanEck analyst believes that many firms will also file for a spot Solana ETF next year.

This is because VanEck anticipates that Solana will become a top three blockchain network based on market capitalization, total value locked (TVL), and active users. According to VanEck analysts, Solana is a faster and cost-efficient alternative to Ethereum.

As of writing, Solana’s TVL stands at over $1 billion.

Bonk Becomes The Most Viewed Crypto

The screenshot below from CoinGecko shows that Solana’s meme coin – Bonk, has been the most viewed crypto in the past 24 hours. Another meme coin, Chihuahua Chain (HUAHUA), has been the second most viewed crypto on CoinGecko.

Solana Saga Mobile Sales Increased 10 Times Due to Bonk Hype

The Solana ecosystem has been one of the front-runners of the current crypto market rally. And its meme coin – Bonk, has been outperforming other well-known names such as Dogecoin, Shiba Inu, and PEPE.

In the past two months, Bonk has rallied by nearly 9,000%. The listing on centralized exchanges such as Binance and Coinbase has acted as a catalyst for the rally.

Moreover, the Bonk rally has resulted in Solana Mobile sales surging ten times in the past 48 hours. This is because the web3 smartphone airdrops 30 million BONK tokens to the buyers.

As of writing, the 30 million BONK tokens cost approximately around $1000. Hence, the Solana Saga Mobiles effectively become free of cost for the buyers.

What Events Can Cause The Death of Bitcoin?

The skeptics of the blockchain technology have called out Bitcoin death nearly 500 times since 2010. However, the flagship cryptocurrency has consistently rebounded, reaching new all-time highs after each Bitcoin halving event.

Tomasz Wojewoda, the head of business development at BNB Chain, believes that only extreme events can kill Bitcoin. He says that if the crypto market participants forget about Bitcoin and never use it, then only its demand can go down to zero.

However, Wojewoda believes that due to the decentralized and borderless nature of Bitcoin, its demand will always remain.

Bitcoin Hits All-Time High in Argentina

Countries with high inflation rates, such as Argentina, are prime examples that Bitcoin’s demand will always remain. The country suffers from a 143% annual inflation rate, with a ten-year average of 40% yearly.

As a result, the citizens consider digital assets, such as Bitcoin, that are meant to serve as a hedge against inflation. As Argentina’s Peso devalues, Bitcoin has been hitting new all-time highs.

Argentinian President Javier Milei’s economic emergency policies are set to devalue the Argentina peso by 50% to 800 from 400 pesos to the dollar.

This Week’s Crypto Top 10

Compared to last week, Avalanche (AVAX) is the new addition to the list of top 10 cryptocurrencies based on market capitalization. In contrast, Dogecoin is no longer a part of the top 10 crypto assets list.

Do you have anything to say about the biggest stories in crypto this week or anything else? Write to us or join the discussion on our Telegram channel. You can also catch us on TikTok, Facebook, or X (Twitter).

For BeInCrypto’s latest Bitcoin (BTC) analysis, click here.