Recent data reveals a significant drop in the number of active addresses on the Solana network, while the coin's price steadily rises. Let's examine the main factors at play.
Network Activity Declines After October Peak
According to data, Solana reached its peak network activity on October 22, 2024, with 18.54 million active addresses. At that time, the SOL price was $161.34, suggesting a strong correlation between network usage and price movement. By February 15, 2025, active addresses had dropped to 8.37 million, reflecting a significant decline in user participation.
Solana Price Gains Despite Fewer Active Users
Despite the decrease in active users, the price of SOL has climbed to $197.86 by mid-February 2025. This may suggest that the increase in value is driven by the participation of a few engaged users rather than the entire community.
Solana Price Technical Indicators Show Bearish Trends
Technical indicators present bearish signals for Solana. The Relative Strength Index (RSI) is at 32.16, slightly below the oversold level of 30, possibly indicating a buying signal if selling continues. The decline in open interest also indicates lower participation from traders or investors.
The decline in active addresses and bearish indicators in Solana spark interest among analysts. While the network's price continues to rise, further changes in interest and support may indicate new market trends.
