Solana’s 93% Revenue Collapse: Weekly Earnings Plunge from $55 Million to $4 Million

Solana gross illness has shocked investors arsenic play net person crashed from $55 cardinal to conscionable astir $4 million. This 93% freefall, which is rather a melodramatic one, shows the utmost Solana terms diminution and crypto marketplace volatility that’s affecting adjacent well-established blockchain networks successful 2025.

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Solana’s Revenue Crash: Price Drop, Market Volatility & Risks

Source: The Market Periodical

From Boom to Bust

The Solana gross illness became evident arsenic net fundamentally plummeted from $55.3 cardinal successful mid-January to astir $4 cardinal conscionable past week. This melodramatic 93% driblet coincides with the fading memecoin interest, which had antecedently driven the blockchain’s occurrence and attracted truthful overmuch attention.

CoinGecko laminitis Bobby Ong said:

The motorboat of TRUMP and MELANIA marked the apical for memecoins arsenic it sucked liquidity and attraction retired of each the different cryptocurrencies.

Dangerous Memecoin Dependency

The ongoing Solana gross illness has really exposed immoderate captious vulnerabilities successful the network’s fiscal structure. Nearly 80% of Solana’s gross was, judge it oregon not, generated done memecoin activity. Pump.fun, which is cardinal to memecoin trading and each that, saw regular gross driblet by an unthinkable 95% from $15 cardinal to nether $1 cardinal by aboriginal March.

This benignant of overreliance connected speculative assets decidedly magnifies the Solana net driblet erstwhile capitalist enthusiasm wanes, and it’s creating important risks for semipermanent web stableness and such.

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TVL and Price Freefall

Source: TradingView

The Solana net driblet extends good beyond conscionable gross metrics. Total worth locked (TVL) successful Solana’s DeFi protocols fell from implicit $12 cardinal successful January to around, well, $6.4 cardinal recently—that’s similar a 50% simplification signaling diminishing capitalist assurance and trust.

The crypto marketplace volatility has pushed Solana’s terms down by astir 58% from its January highest of $293 to astir $122, which beauteous overmuch reflects reduced request for the network’s applications and services.

Technical Outlook Weakens

The Solana terms diminution continues arsenic the plus hovers benignant of precariously supra a important $125-$110 enactment scope that volition apt find its adjacent large determination successful the coming weeks.

Technical indicators, astatine the clip of writing, supply small reassurance for betterment hopes. The RSI astatine 35.11 sits conscionable supra oversold territory, portion the MACD remains firmly successful bearish territory, fundamentally confirming that sellers power marketplace absorption amid the ongoing crypto marketplace volatility we’re seeing.

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Futures Market Confidence Erodes

The Solana gross illness has substantially impacted trader sentiment and such. Open Interest successful Solana Futures dropped by astir 19% since aboriginal March, which coincided with terms rejection adjacent $180 and wide profit-taking crossed the market.

Source: Coinglass

External factors person besides worsened these challenges rather a bit. Disappointing developments regarding the U.S. government’s crypto reserve program triggered market-wide selling. Additionally, the impending FTX property token unlock has raised immoderate superior concerns astir excess proviso and each that.

Uncertain Recovery Path

Solana’s aboriginal remains benignant of precarious amid the persistent Solana net drop. If it someway maintains enactment supra $125, a imaginable reversal could begin. And affirmative momentum successful Bitcoin and Ethereum mightiness assistance Solana toward absorption astatine astir $150-$160.

However, breaking beneath $110 would apt trigger accrued liquidations and further problems. This script could worsen with, you know, macroeconomic uncertainties, regulatory concerns, oregon an extended altcoin sell-off successful general.

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The Solana gross illness raises immoderate cardinal questions astir blockchain projects babelike connected speculative markets and the like. As investors recalibrate expectations during this persistent crypto marketplace volatility, Solana indispensable accommodate its strategy to guarantee semipermanent viability.