Solana’s price attempted a rebound this week after retesting last week’s lows, but on-chain metrics suggest further downside potential.
TVL and Trading Volumes Decline
According to DeFi Llama data, Solana’s Total Value Locked (TVL) has declined 20% from its December peak to $4.125 billion currently.
Lower On-Chain Activity
As shown by The Block, several on-chain metrics for Solana appear to have peaked and are trending lower, including trading volumes, new addresses, and value transferred.
Total trading volumes on major Solana DEXs hit a 1-month low over the weekend.
Network Fees Decline
Declining on-chain activity has reduced network fees collected by Solana, hitting a 1-month low of $306,000 on Saturday.
Chart Patterns Point to Further Downside
Solana’s chart patterns, including a bearish descending triangle, suggest the possibility of a break below the $86 support level.
Alternative Investment Opportunity
The risky Meme Kombat gaming platform is suggested for high-risk/high-reward opportunities.
Crypto bears high risk. This does not constitute investment advice. You may lose your entire capital invested.