🌎 Sonic Token Surges 25 Amid Ecosystem Growth

Crypto Market Update: Sonic Token Sees Significant Gains

Sonic Token Surges 25% Amid Ecosystem Growth

The Sonic token, formerly known as Fantom, has experienced a notable surge in value, jumping 25% to become the second-best performing top-100 crypto coin this week. On Thursday, the token reached a weekly high of $0.5882, marking its highest level since January 31 and a 75% increase from its lowest point this year.

Ecosystem Growth and DeFi Performance

Third-party data indicates that the Sonic ecosystem is thriving, with the total value locked (TVL) reaching a record high of $400 million. This significant increase from the $27.5 million TVL at the start of the year is largely attributed to the growth of various decentralized applications (dApps) within the ecosystem.

Some notable dApps, such as Silo Finance, a lending protocol on Sonic, have seen substantial gains, with assets increasing by 20% in the last seven days to reach $133.7 million. Other top-performing assets in the Sonic ecosystem include Avalon Labs, Shadow Exchange, SwapX, and ICHI.

Rising Staking Yield and Competition

The Sonic token’s price surge can be attributed, in part, to its rising staking yield, which currently stands at 5.98%. This yield is higher than those offered by other prominent crypto tokens, such as Ethereum (0.96% and 3.3%) and Sui (2.55%).

Meme Coin Industry Ambitions

Sonic aims to become a major player in the meme coin industry through its meme mania promotion. The success of meme coins like Goggles, TinHatCat, and Indi, which have accumulated a market cap of over $3 million each, serves as a promising indicator for Sonic’s future prospects.

Sonic Price Forecast and Analysis

According to the two-hour chart, the S price has rebounded from its earlier low of $0.310 to reach $0.5500, slightly above the 50-period moving average. The formation of an inverse head and shoulders pattern, a popular bullish reversal sign, suggests that the coin may retreat to the right shoulder of $0.4325 before resuming its uptrend.

Key levels to watch include a rebound above the neckline at $0.5878, which could indicate further upside, with the next level to watch being at $0.8480, representing a 96% increase from the current level. Conversely, a crash below the shoulder section of $0.4325 would invalidate the bullish outlook.