Solana (SOL), Serum (SRM), and the FTX Token (FTT) have been at the forefront of the crypto rally. Despite all of these coins being linked to the FTX crypto exchange and suffering dearly for it when the company filed for bankruptcy, they have been able to stage a massive reversal. These three coins feature at the top of cryptocurrencies with the most market gains right now, but why?
Serum, Solana, And FTT Take Front And Center
For the past week, the majority of the crypto market has been rallying, following in the footsteps of bitcoin which had reached levels not seen since before the FTX crash. This green movement would continue into the week but some cryptocurrencies would take it further. Three cryptocurrencies in particular, namely Serum, FTT, and Solana, all linked to the now-bankrupt FTX exchange, saw significant gains.
Serum (SRM), which FTX holds a relatively small amount of compared to its other token holdings, has had a tremendous run this past week. The cryptocurrency is one of the few assets that have been able to record triple-digits gains during this time. SRM’s price is already up by over 179% in the last 7 days, pushing its price up above $0.65 at one point, a return to its pre-FTX collapse levels. It is also one of the top trending coins on Coinmarketcap.
Following in the footsteps of Serum is the FTT Token, FTX’s official token. FTT had declined below $1 following the bankruptcy filing, severely impacting its standing in the crypto market. However, in the last week, it has emerged as one of the best performers. Its price is up over 170% to be trading above $2.5.
FTT Token returns to pre-FTX collapse levels | Source: FTTBUSD on TradingView.com
Last but not least is Solana. Now, Solana’s story goes a little further back compared to the others in this report but it has been a tremendous performer. SOL first started gaining more prominence following the popularity of the BONK meme coin. But it carried this performance into the mini bull run and has been performing well ever since.
SOL’s price is up more than 41% in the last week, much less than the SRM and FTT. But it becomes even more impressive when it is taken into account that SOL was trading below $10 less than a month ago, and is currently sitting above $23 after peaking at $27.
What Is Driving These FTX-Related Tokens?
Right now, there is no obvious driver behind the recovery of these cryptocurrencies besides the general market bull run. One thing that has given more exposure to FTX, in general, is former CEO of FTX US, Brett Harrison, taking to Twitter to share his story about his time at the crypto exchange.
Despite the general tone of the post is negative, it has not really affected the performance of these coins. Serum is only recording small losses of less than 2% in the last 24 hours since the post was made, while Solana is firmly in the green with 3.41% gains. FTT is seeing the largest losses in the one-day period at -2.16%.
The question of if these coins will continue to rally depends entirely on the market movement. Since there is no event that is driving any of their prices, it comes down to just the general altcoin market following closely behind bitcoin during this time.
If there is a pullback in the price of bitcoin, a pullback among these altcoins should be expected as well.