Solana Struggles at $121 as Corporate Treasury Strategies Stall and Network Activity Plunges 97%
Solana (SOL) is now worth $121, which is a 2.5% drop in the last 24 hours. The blockchain network is facing more and more problems on
Quick overview
- Solana's price has dropped to $121, marking a 2.5% decline in the last 24 hours and a 57.5% decrease from its all-time high.
- Upexi, a major corporate holder of Solana, filed a $1 billion shelf registration, indicating potential caution in corporate purchases amid a significant drop in its treasury value.
- Network activity on Solana has plummeted by 97%, with monthly active traders decreasing from over 30 million to less than 1 million, reflecting a decline in speculative interest.
- Technical analysis suggests Solana may test a critical support level at $95, with potential further declines if this level is breached.
Solana SOL/USD is now worth $121, which is a 2.5% drop in the last 24 hours. The blockchain network is facing more and more problems on several fronts. The altcoin has dropped 57.5% from its all-time high of $293.31 in January 2025. This is part of a larger crisis of confidence that affects everything from corporate treasury policies to network activity that is falling apart.
Corporate Solana Holdings Face Turbulence as Upexi Files $1 Billion Shelf Registration
This week, the corporate Solana treasury model revealed symptoms of strain when Upexi, the fourth-largest corporate holder of SOL with 2.1 million tokens worth $262.3 million, filed a $1 billion shelf registration with the Securities and Exchange Commission. The document indicated that the corporation might buy more Solana after not buying any for five months, starting in late July.
However, investors were not happy with the news. Upexi shares closed down 7.5% to $1.84 on Tuesday, but they did rise slightly to $1.92 in after-hours trade. The company’s Solana position has lost a lot of value, going from over $525 million in mid-September to its current $262.3 million. This is a 19% paper loss on its treasury holdings.
The drop in corporate Solana purchases shows that the market as a whole is less sure about crypto treasury methods. Upexi changed from making consumer goods and running an online store to running a treasury company focused on Solana in late April. Since July 23, they haven’t bought a single SOL, which could mean they are being careful with their money or they don’t have enough to spend as the token’s price fell in the second half of 2025.
Network Activity Collapses 97% as Memecoin Frenzy Evaporates
The sudden drop in network traffic on Solana may be more worrying than the losses in corporate treasury. Crypto trader Jas looked examined on-chain data and found that the number of monthly active traders has dropped from over 30 million to less than 1 million. This is a huge 97% drop that shows how speculative Solana’s 2024 rise is.
The memecoin surge that helped Solana grow has mostly faded, and that’s what caused this fall. Network revenue reflects the story clearly: it dropped from $2.5 billion in 2024 to only $500 million in 2025. Ethereum made $1.4 billion this year, which is 56% more than SOL so far this year.
Trader Ardi’s analysis shows that there is a worrying difference in the demographics of people who buy Solana. Retail wallets that buy things worth between $0 and $1,000 have been steadily going up, which suggests that tiny investors still think SOL is undervalued. But mid-sized wallets ($0 to $100,000) and institutional wallets ($100,000 to $10 million) have been going down steadily for about 13 months, with distribution starting long before the November 2024 high.
SOL/USD Technical Analysis: Further Downside Risk with $95 Support Level Critical
From a technical point of view, Solana’s chart structure shows that it will get weaker in the future. SOL is now trading below important moving averages, which means that it is likely to test the $95 support level. Technical analysts think that buyers will fight hard to keep this level, but any rally will probably run into a lot of selling pressure at the moving averages.
If bears smash through the $95 support level, Solana could go all the way to $80 and maybe even $50, which would be a 59% drop from where it is now. But if the price stays above $95 and then breaks above moving averages, it could stay in a range between $95 and $260 for a few weeks.
For the bullish scenario to work out, there needs to be a clear closure above $260 to show that a fresh uptrend has started. This could hypothetically push SOL up to $425. But because of how the market is set up right now and how big investors are losing interest, this scenario seems less and less possible in the near future.
The Verdict: Solana’s Future Hinges on Finding Purpose Beyond Memecoins
The data doesn’t seem good for Solana. The network’s value proposition is now closely linked to memecoin speculation, with SOL demand and memecoin activity being almost perfectly correlated. Bid interest has mostly disappeared since the memecoin craze.
One researcher said, “SOL’s future may depend less on memes and more on what comes after them.” The network will have a hard time getting investors to trust it again and justifying prices closer to their all-time highs unless Solana can show that it can be used in ways other than speculative token launches.
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