In the early hours of Tuesday morning, the broader crypto market experienced an unexpected slump. The lower timeframe charts for most of the top coins were denoted by long red candles. Most of the Alts’ 24-hour profits have been wiped out. In fact, almost all of the top coins were in the red at the time of writing.
Oddly enough, one coin – Solana managed to deviate from the pack and just remained untouched. The seventh largest old course saw a 32% increase in the past 24 hours. To put things in perspective: Coins like Ethereum and Cardano lost over 5% and 9% respectively in the same period.
Serum’s utility token – SRM – also appeared to remain unaffected by the chaotic state of the broader market. For context, Serum is centralized exchange software based on Solana. By deploying on Solana, Serum benefits from the speed and cost efficiency of transactions on the blockchain.
SRM’s price has always moved hand in hand with Solana. For example, over the past 50 days, SRM’s valuation has seen a massive 340% increase. In fact, this token was trading below $ 10 at the time of going to press. The spot volume for both SOL and SRM on the most important stock exchanges was within the usual range. There was also no significant upswing or slump to be seen.
Additionally, the market has been pretty merciless to short traders for the past 8 hours. As can be seen from the attached chart, SOL short contracts worth nearly $ 30 million have been liquidated in the past 8 hours. On the other hand, the value of long contracts that were forcibly closed stayed below $ 17 million.
As for SRM, however, the market has been cheap for traders who advocate the dip narrative. In the same 8-hour window, there were long liquidations worth over $ 1 million, compared to short liquidations worth $ 300,000.
Oddly enough, SRM’s OI peaked within four hours. In fact, as can be seen in the attached table, the same thing has seen a gorgeous jump from the $ 80-100 million to the $ 100-200 million mark. A similar OI trend was also observed in the SOL market. This increase essentially means that new funds are flowing into the respective marketplaces and the ongoing trend is expected to continue.
In addition, Serum’s exchange volume has been in pretty decent shape lately. In fact, $ 119.22 million in transactions have been executed on DEX in the past 24 hours. As for Solana, the growth is steady and organic. In fact, as discussed in a previous article, this Alt managed to achieve a speed of escape.
Additionally, Solana’s correlation with Cardano and Ethereum was pretty low [0.09 and 0.12, respectively, to be precise]. Given the independent rally these two alts have seen recently, the wider market downturn shouldn’t necessarily affect their respective macro trends. Ergo, for SOL and SRM an increase in the price charts will certainly continue.