Solana price is at $131, and many altcoins have recently lost over 2% of their value. The overall transaction volume on the Solana network has declined, indicating a drop in activity. Let's review the current situation and future projections.
Solana Network Data
The Solana network's transaction volume has fallen over the past week, hitting a significant weekly low. The proportion of non-financial transactions has also significantly decreased, showing that investors are interacting less with Solana applications. Transactions, which fell by 63% from the 2024 peak, dropped to 485 million in August. In July, this number was 1.31 billion. Transaction activity in August reached 494 million, nearly the same level as October 2023.
Future of SOL Coin
Bitget Research Chief Analyst Ryan Lee is not pessimistic. He asserts that the increased liquidity following the interest rate decision on September 18 will support the price of SOL Coin, as well as other major altcoins. However, it's uncertain as the potential continuation of interest rate hikes in Japan could trigger risk asset sell-offs. In his latest analysis, Lee noted: "The operational status of fundamental projects on Solana, such as Solayer, which recently opened a staking window, is expected to attract market Solana funds, increasing buying pressure in the secondary market and reducing circulating supply. Solana DEX trading volume is anticipated to see significant fluctuations in September."
Conclusion
The Solana network is experiencing a decline in activity and transactions. Despite this, there is hope that increased liquidity could lead to growth in the future. It's important for investors to make their own decisions, as predictions can be wrong.
The decline in Solana network activity and transactions is concerning, but increased liquidity may change the situation. It's essential to follow future developments and analyze the market.
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