- Transaction volume drops 50%, signaling weaker on-chain activity.
- Solana has stood strong, showing great investor sentiment and confidence.
- Cup-and-handle pattern indicates that there are chances of a breakout of above $250 level.
Solana is witnessing a sharp fall in network activity despite its strong price performance in recent months. According to recent analysis by CryptoQuant, Solana’s daily transaction volume has fallen by nearly 50% since late July.
On July 24, 2025, the blockchain registered the largest number of transactions this year at approximately 125 million. At this point, that number is close to 64 million, which is one of the sharpest drops in recent months.
Solana Faces Sharp Transaction Decline While Price Soars
While network activity weakens, Solana’s market price continues to show notable resilience. The data indicates the token’s average trading price sits around $180, with an all-time high of $262.56. Investor demand seems stable, but the number of daily activities has declined significantly, indicating increasing confidence in the asset.
Solana Chart Analysis: A Nearly 50% Drop in Transactions Amidst Price Rally
“The daily transaction volume has plummeted from its peak of approximately 125 million on July 24, 2025, to a current level of around 64 million.” – By @CryptoOnchain pic.twitter.com/8MgIAb8p9i
— CryptoQuant.com (@cryptoquant_com) October 9, 2025
The market analysts indicate that at this point, traders are paying more attention to long-term value as opposed to on-chain usage. This trend presents a possible change in transactional adoption to price speculation among the market participants.
Historically, when the network activity increased, the prices would tend to skyrocket; however, the same trend seems to be wearing off. According to experts, the divergence might mean that the current momentum of Solana is more investor sentiment-driven and capital inflows. With an increase in trading volumes in centralized exchanges, network-level activity seems to be deceptive.
Solana Price Forms Cup and Handle Pattern Setup
A crypto analyst has pointed out a potential bullish setup forming on the Solana price monthly chart. A big Cup and Handle pattern is developing, according to her analysis, which points to a big upward move.
The analyst observed that an explosion might come to fruition in case a Solana ETF is passed by the U.S. Securities and Exchange Commission (SEC). This kind of development would be a significant trigger of price movement.
The analyst underlined that in case SOL is able to overcome the resistance range of $250 to $295, the chances of breaking the new all-time high would multiply significantly. This is a breakout area considered as a pivotal point to ascertain long-term bullishness.
According to the Cup and Handle framework, the professional identified realistic upside objectives of $300, $400, and $500. These price targets conform to the technical consequences of the trend on a longer-term scale.
Will SOL Price Hold $220 Support Level?
As of the reporting, the SOL price is at $221.09, marking a 2% surge over the past 24 hours. The Solana token has been trading above the $215 zone of support, indicating that it is stronger than the momentary pressure in the market.
In the past sessions, SOL experienced selling pressure towards the $230 resistance, which saw the company experience a short-term decline. The current price is at this time consolidating at a range of between $215 and $230, indicating that the traders are awaiting a breakout signal.
The MACD indicator indicates a weak bearish crossover with the signal line over the MACD line. Nonetheless, the histogram is converging, and it is a sign of a potential recovery of momentum in case volumes of buying are on the rise. The Relative Strength Index (RSI) is currently at 42.19, which indicates that the state is neutral to oversold.
The strong resistance level for the Solana price is at $230, while $215 serves as strong support. A clear close above $230 could open the path to $245 and $250, while a fall below $215 may lead to $205 levels.
