Solana (SOL) Plunges Below $100, Memecoin Mania Cools

In a dramatic turn, Solana (SOL) plunged below the crucial $100 mark in the past 24 hours, sending shockwaves through the crypto market.

Solana (SOL) slid below the key $100 level in the past 24 hours, pushing it further into bear market territory.

Solana price dropped over 14% to hit a low of $96 in the past 24 hours before rebounding slightly. It was trading at around $101 by 07:38 ET on Wednesday.

Solana’s price has now reached its lowest point in 14 months. The drop also comes amid broader crypto market volatility and macroeconomic fears.

According to CoinGlass, the sharp decline in SOL also led to nearly $71 million in leveraged long positions on Solana being liquidated in the past 24 hours.

Global Trade Tensions Spook Markets

Analysts at Benzinga note that several factors may be contributing to the broader crypto market weakness.

Growing global trade disputes and renewed tariff tensions have pushed investors into a risk-off mood.

The fear of an impending economic slowdown has been weighing heavily on both traditional and digital markets, leading to widespread red across major crypto assets.

Solana’s On-Chain Metrics Signal Trouble

Adding to the bearish mood is Solana’s declining on-chain performance.

According to VanEck’s latest analysis of Solana network activity in March, there was a:

* 66% fall in average transaction fees

* 34% drop in stablecoin transfer volume

* 53% decrease in DEX trading activity

VanEck also highlighted a significant loss in DEX market share for Solana, which recently fell to its lowest point since October 2024. This comes just months after the network briefly outpaced Ethereum in DEX trading volume.

The Rise and Fall of Memecoin Mania

One major factor behind Solana’s decline is the cooling hype around memecoins.

Daily memecoin volumes on Solana peaked at a staggering $12 billion earlier this year but had plummeted to just $720 million by March.

Despite this, memecoins still accounted for 92% of Solana’s total DEX volume last month (excluding SOL and stablecoins), underlining how heavily the network’s activity leans on speculative assets.

Institutional Eyes Still on Solana

While retail sentiment may be waning, institutional interest is quietly growing. The Chicago Mercantile Exchange (CME) recently introduced SOL futures contracts, and Volatility Shares followed up with the first-ever SOL futures ETF.

These developments suggest mounting institutional confidence and could potentially lay the groundwork for spot-based Solana ETFs, a move that might reshape the token’s future trajectory.

PayPal Steps In

Adding fuel to Solana’s long-term narrative is PayPal’s recent integration of SOL into its crypto offerings. U.S. users can now buy, sell, and transfer Solana through both the PayPal platform and Venmo, signaling rising mainstream adoption despite recent price action.