Solana’s been in a slump since its peak in late January. The price keeps falling, dragged down by the overall decline in meme coins, which are a big part of Solana’s ecosystem.
Meme Coin Mayhem
Experts say that the whole speculative meme coin craze is a major reason why Solana (and other altcoins) aren’t doing so well compared to Bitcoin. Basically, the initial hype around meme coins fueled Solana’s rise, but now that hype is fading, causing a price drop.
A Crucial Chart
Crypto analyst Jelle posted a chart showing Solana against Bitcoin (SOL/BTC) breaking below a key support level. But there’s still a little time left before the chart’s time period ends, so it’s not completely certain what will happen. If the breakdown is confirmed, Solana could fall further against Bitcoin.
Solana’s Low Point
Solana is at its lowest point since November 2024, wiping out all the gains it made after the elections. It used to be a top performer, but now it’s struggling. The meme coin craze, which helped it rise, is now hurting it. This shift was expected, as these speculative bubbles often burst.
What Happens Next?
Jelle’s analysis shows SOL/BTC breaking key support, but the final chart isn’t done yet. There’s still a chance for a positive turn if buyers jump in. The next few days are crucial. If Solana can hold onto its support levels, it might recover. But if the selling continues, it could fall even further.
The Price Battle
Solana’s currently around $168, having hit a new low around $163. Buyers need to push the price above $170 to avoid a bigger drop. $170 is a key resistance level. If it can’t break above that, it could fall to around $150. However, breaking above $170 and then $190 would be a strong sign of recovery, potentially leading to a climb back towards $200.
