- Solana’s price holds near $220 amid market volatility supported by hopes for ETFs.
- Daily on-chain transactions have dropped about 50% from the July peak of 125 million.
- Total value locked remains above $32 billion despite reduced network activity.
Solana’s price is trading around $220 even as on-chain metrics show a notable decline in network activity.
While the roughly 50% fall in transactions is a point of concern, expectations around potential approval of spot ETFs and rising institutional interest continue to provide bullish support for SOL.
Solana sees a 50% drop in daily transactions
According to a recent CryptoQuant report, Solana’s daily transaction count has fallen sharply in recent months. The data show the metric has declined by nearly 50% compared with its July peak.
The on-chain analytics firm shared details of the downturn on X, showing transactions fell from a high of roughly 125 million on July 24 to about 64 million.
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 decline, detailed in CryptoQuant’s October 9 analysis, points to possible capital outflows and waning retail engagement. Over the same period, SOL’s price rose by more than 20%.
Given this divergence, analysts warn that the price rally may not align with underlying market activity.
“The sharp drop in transaction count bolsters the view that the recent price increase may be driven more by market sentiment and speculative flows than by sustainable, organic growth in demand for the Solana network,” wrote CryptoQuant analyst CryptoOnchain.
Solana price outlook: bulls defend the $220 area
Despite the drop in activity, SOL remains anchored above $200 and was trading near $220 at the time of writing.
Market observers note that whale accumulation has increased, and the prospect of a spot Solana ETF is giving bulls significant control.
Technical indicators align with this outlook. On the daily chart, Solana’s 50-day moving average is sloping upward and provides dynamic support above $217.
The relative strength index (RSI) sits around 46, indicating neutral momentum, though buyers may need to reassert control to avoid another pullback.
If buyers do regain momentum, there are clear opportunities to target higher resistance levels before the market reaches overbought conditions.
SOL price chart from TradingView
A decisive close above $230 could negate bearish patterns, with the $236–$255 zone acting as a critical resistance area.
What’s behind Solana’s market strength?
Analysts point to mature infrastructure on Solana and growing institutional demand as drivers of market strength.
The likelihood of spot Solana ETF launches in the coming weeks remains a key catalyst, despite regulatory uncertainty in the United States.
Price action for SOL would likely accelerate significantly if the SEC approves several applications or clarifies its guidance to issuers.
Bloomberg ETF analyst Eric Balchunas highlighted issuer fee competition on X, noting low-fee proposals that could help spur adoption if approved.
Bitwise not playing around, plans to charge just 0.20% for their spot Solana ETF. Thought we’d see higher first, need war to get this low. They prob figured it’s gonna end up there anyway so just do it now (veteran Terrordome move right there). Low fees have near perfect record… https://t.co/wzoy2deqie
— Eric Balchunas (@EricBalchunas) October 8, 2025
Meanwhile, inflows into Solana crypto products have jumped over the past two weeks, highlighted by a fresh record for U.S. dollar inflows last week.
Notably, SOL’s price appears to be decoupling from short-term noise as DeFi activity on the network grows.
Total value locked dipped about 2% over the past 24 hours but remains above $32 billion, while open interest has risen to $14.7 billion.