Solana Struggles Post-November 2024 Peak: A Market Analysis

Solana (SOL) has seen a significant decline, dropping nearly 58% from its all-time high of $296 in November 2024 to the current price of $124.23 as of December 24, 2025.

Price Action Details

SOL is currently trading at $124.23, with a 24-hour change of -1.5%, a 7-day change of -4.2%, and a 30-day change of -12.6%. Key support levels are at $100 and $115, while resistance is noted at $140 and $150. The 24-hour trading volume stands at $3.2 billion, which is 20% below the average volume over the past month. This price action has reduced Solana's market cap to $45.6 billion, down from $108 billion at its peak.

Driving Factors

The decline in SOL's price can be attributed to a decrease in market interest and a shift in investor demographics. Crypto trader Ardi noted on X that buying pressure has primarily come from retail-sized wallets, with transactions between $0 and $1,000 dominating. On-chain data from Solscan reveals that mid-sized and institutional wallets have been in a downtrend for 13 months, while retail wallets show an uptrend. Additionally, SOL's network revenue has dropped from $2.5 billion in 2024 to $500 million in 2025, signaling a significant reduction in network activity.

Broader Market Context

Compared to Bitcoin and Ethereum, Solana's performance has been notably weaker. Bitcoin is up 22% year-to-date, while Ethereum has outperformed SOL by 56%, generating $1.4 billion in revenue this year. The DeFi sector, as reported by DefiLlama, has seen a total value locked (TVL) decrease of 15% over the past month, reflecting broader market trends. The Fear & Greed Index currently stands at 35, indicating a market sentiment of fear. Analyst Jas from Crypto News suggests that SOL's future may depend on new catalysts beyond the memecoin sector.

The correlation between SOL's demand and memecoin activity has been significant, with a near-perfect correlation observed. Without the memecoin frenzy, most bids for SOL appear disinterested. The active monthly traders for SOL have dropped from 30 million to under 1 million, a 97% decline, highlighting the speculative nature of its recent performance. As the market recalibrates, investors are closely watching for signs of renewed interest or new developments that could reignite Solana's momentum.