Solana’s price remains stable around $220 amidst market volatility, buoyed by growing optimism regarding potential spot ETFs. However, daily transactions on the network have plummeted by 50% from July’s peak, raising questions about sustainability.
Drop in Daily Transactions for Solana
Recent data from CryptoQuant reveals that Solana’s daily transactions have significantly decreased in recent months, dropping nearly 50% from their high in July. This decline has seen transaction numbers fall from around 125 million on July 24 to approximately 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
This decrease, highlighted in CryptoQuant’s October 9 analysis, suggests potential capital outflows and reduced retail engagement. Notably, the price of SOL rose over 20% during the same timeframe.
“The significant drop in transactions reinforces the notion that the recent price surge may be more attributable to market sentiment and speculative activities rather than a sustainable increase in demand for the Solana network,” stated CryptoOnchain, a CryptoQuant analyst.
Market Outlook for Solana as Prices Hold at $220
Despite the drop in transactions, SOL remains firmly above $200, hovering near $220 at the time of this report. Market observers note an increase in whale accumulation and overwhelming bullish sentiment linked to the potential approval of a Solana spot ETF.
Technical indicators support this bullish view. Solana’s daily chart reveals a rising 50-day moving average, acting as dynamic support above $217. Meanwhile, the relative strength index (RSI) is at 46, indicating neutral momentum; however, buyers may need to reassess to prevent further declines.
If significant buying occurs, there is ample room to target key price levels before reaching overbought conditions.
A decisive close above $230 could invalidate bearish patterns, while $236 to $255 presents crucial resistance zones.
What Fuels Solana’s Market Strength?
Analysts emphasize the maturation of Solana’s infrastructure and growing institutional interest. The potential launch of Solana spot ETFs within the coming weeks remains likely despite recent governmental shutdowns in the U.S.
Furthermore, SOL’s price could see a significant uptick if the SEC approves several applications following its recent guidance to issuers.
Bloomberg ETF analyst Eric Balchunas highlighted this potential on X:
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
In addition, incoming flows into Solana-related crypto products have surged in the past two weeks, highlighted by a record inflow of $706 million last week.
Remarkably, Solana’s price is becoming increasingly decoupled from short-term fluctuations as DeFi dominance rises. Though the total value locked has decreased by 2% in the last 24 hours, it remains above $32 billion, with open interest also reaching $14.7 billion.
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