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The euphoria around potential retroactive airdrops by projects on top of Solana ($SOL) will push the $SOL price higher and higher, top trader and analyst Jacob Canfield foresees.
Solana ($SOL) price to expand rally, airdrop hunters to blame
The price of $SOL, the core native asset of the Solana blockchain, has a very simple bullish thesis that will likely push its price higher. The interest of retroactive airdrop hunters seeking lucrative bonuses is the top catalyst of potential $SOL price growth, Canfield opined on X today, Dec. 9, 2023.
The thesis for $SOL continuing higher is very simple.
— Jacob Canfield (@JacobCanfield) December 8, 2023
The network effect of seeing all these people getting 5-6 figure air drops will result in a significant number of people buying $SOL and bringing assets over to farm the air drops.
You need $SOL to do this.
Simple…
More and more traders are having FOMO after the whopping success of the Jito ($JTO) airdrop, which brought five- and even six-digit bonuses to $SOL holders who performed standardized tasks on the Jito staking protocol.
As they are running toward other protocols with potential crypto token distributions, they will need more and more $SOL assets to authorize transactions, join conversion and staking mechanisms:
The network effect of seeing all these people getting 5-6 figure air drops will result in a significant number of people buying $SOL and bringing assets over to farm the airdrops
As such, Canfield attributed the bullish prospects of Solana ($SOL) to simple laws of supply and demand.
As covered by U.Today previously, BitMEX founder Arthur Hayes also came up with an uber-bullish prediction on the Solana ($SOL) price.
Solana ($SOL) is changing hands at $76.94, being 5.5% up in the last 24 hours.
Jito ($JTO) price rocketing
The new frenzy of Solana-based cryptocurrencies was triggered on Thursday, Dec. 7, 2023. Jito ($JTO), a Lido Finance competitor on Solana ($SOL), organized a massive airdrop of its token $JTO.
The project distributed over $225 million in $JTO equivalent to the attendees of online activities on the platform.
After the airdrop, the price of $JTO did not drop. In the last 24 hours, it added over 32% as it inches closer to $4.
The trading volume in $JTO pairs on major exchanges exceeded $1.1 billion, which made it the 12th most popular cryptocurrency two days after launch.