Solana (SOL), which was hit hard after the bankruptcy of cryptocurrency exchange FTX, also fell after the SEC labeled it a security.
Some exchanges also ended support for SOL after the SEC designated them as securities.
However, SOL started to recover and became one of the most liquid altcoins.
According to data shared by Kaiko, Solana has become one of the most liquid altcoins on Coinbase, the largest US crypto exchange.
Kaiko said these data show that despite a 5% drop in SOL over the past week, SOL has solid fundamentals and shows promise in terms of price performance.
“Solana has become one of the most liquid altcoins on Coinbase.”
— Kaiko (@KaikoData) August 16, 2023
Liquidity refers to the liquidation of an asset without affecting the market price, that is, large sales do not affect the market price.
Being one of the most liquid altcoins on Coinbase, meaning it can be easily traded without causing significant price fluctuations, makes SOL an attractive investment option for investors.
At this point, SOL outperformed Dogecoin (DOGE) with just over $3 million liquidity and just over $2 million, and XRP and Polygon (MATIC) with just over $1 million liquidity.
SOL continues to trade at $23.08 at the time of writing.
*Not investment advice.