Solana (SOL) Price Drops 8.8% in 24 Hours, Hits New 2-Month Low Amid Meme Coin Controversies

Solana has fallen 16.5% in the past week and 39.1% since last month, according to CoinMarketCap data.

Solana's (CRYPTO: SOL) price dropped 8.8% in the past 24 hours to hit $169.01 on Monday morning, as several meme coins on Solana's blockchain saw wild price swings.

Solana fell 16.5% in the past week and 39.1% since last month, according to CoinMarketCap.

Solana Meme Coins Crash: A Quick Rundown

LIBRA, a meme coin on Solana, quickly gained attention after launching on Friday. The coin soared to a market capitalization of over $4 billion at one point on Friday, but it crashed just hours later, losing over $4.4 billion in value.

The token's rise and fall were linked to its endorsement by Argentine President Javier Milei.

However, the endorsement also led to fraud charges against Milei, which were filed by his political opponents.

The complaint accuses Milei of misleading the public by promoting the token and alleges that its backers are also involved in insider trading.

Another meme coin on Solana, Harry Bolz (HARRYBOLZ), saw an incredible surge of 54,637% before crashing.

The brief surge in the meme coin occurred after Tesla (NASDAQ:TSLA) CEO Elon Musk changed his name on X to match the coin.

Another Solana meme coin, Vigilante (VIGI), surged and then crashed by 69% after a man was arrested while trying to promote the coin by climbing the Hollywood sign.

Solana Token Unlocks, Analyst Price Targets

A total of 11.2 million SOL tokens, which are currently valued at $2.06 billion, are set to be unlocked on March 1.

This event has sparked concerns because the tokens were acquired by firms during the liquidation of FTX's assets.

Their release may lead to large-scale selling of SOL, which could put additional pressure on the token's price.

Despite the recent drop in SOL's price, some analysts are optimistic about Solana's future.

VanEck, a prominent asset management firm, has predicted that SOL could rise to $520 by the end of 2025.

This projection is based on expectations that Solana will capture more of the smart contract blockchain market and increase its share of decentralized exchange (DEX) volumes and active users.