Sonic price has become one of the best-performing cryptocurrencies this year. Its $S token surged to a high of $0.7310 on Thursday morning, its highest level since January 18. It has jumped by over 130% from its lowest level this month, giving it a market cap of over $2.1 billion.
Sonic DeFi ecosystem is booming
Sonic, formerly known as Fantom, is soaring because its Decentralized Finance (DeFi) ecosystem is booming. Data by DeFi Llama shows that Sonic has about 75 dApps in the DeFi sector that have accumulated a total value locked of $552 million. This TVL has jumped by 206% in the last 30 days.
Most notably, the amount of stablecoins in the DeFi ecosystem has continued to soar, currently standing at $97 million. These numbers are much bigger than some other popular and large-cap cryptocurrencies like Cardano and Mantle.
The biggest players in the Sonic ecosystem are Silo Finance, Beets, Avalon Labs, Shadow Exchange, and SwapX.
Further data compiled by Messari shows that the Sonic DEX ecosystem is doing well. Less than two months after launch, the total amount of money processed on the network jumped to over $1 billion. Most of this volume passed through Shadow, WAGMI, and Woofie decentralized exchanges.
These numbers mean that the network is doing well and catching up with the other large players in the crypto industry. One catalyst for the surge is the Meme Mania feature, which lets developers launch their own meme coins easily.
According to Andre Cronje, the network’s founder, developers are attracted to the newly launched Sonic because it has the highest throughput and low latency. He expects that more developers will embrace Sonic in the coming months.
Sonic price technical analysis
S chart by TradingView
The four-hour chart shows that the Sonic price rebounded after bottoming at $0.3138 on February 1. It has surged by 128% and is nearing its all-time high. This rebound happened as the inverse head-and-shoulders chart pattern formed. This H&S pattern is one of the most bullish patterns in the market.
Sonic’s price has moved above the 50-period Exponential Moving Average (EMA) and the strong pivot reverse point. Therefore, the S token price will likely keep rising as bulls target the extreme overshoot point at $0.8790.
