Solana’s prices may be high, but its network activity tells a different story. According to on-chain data, daily transactions on the Solana blockchain collapsed by nearly 50%. On July 24, there were about 125 million people, but now there are about 64 million people. This decline comes as SOL has gained more than 24% over the past 60 days.
At the moment, Solana faces a critical week on the regulatory front. The US SEC is reviewing multiple Spot Solana ETF applications from major issuers. This includes VanEck, Fidelity, Grayscale, and Franklin Templeton, with key deadlines scheduled for Friday.
Applications from Bitwise and 21Shares are expected to follow by mid-October.
Is the SOL Rally built on hype?
According to a report from CryptoQuant, Solana’s price has risen from a low of $191 in late September and is trading near $230 this week. The discrepancy between the decline in usage and the rise in prices caught the attention of analysts. They added that in a healthy upward trend, prices typically fluctuate in response to increased network demand. But in this case, the opposite is happening, suggesting that speculation rather than fundamentals may be driving the rally.
The overall picture depends on the type of transaction that was dropped. The report states that approximately 80-90% of Solana’s total transactions are “voting” transactions. They were tied to that consensus mechanism. If the decline is primarily due to them, it may not be a red flag.
It added that if user activity in DeFi, NFTs, and remittances is decreasing, questions arise about how sustainable current price movements actually are.
Solana Chart Analysis: Trades drop by nearly 50% amid rising prices
“The daily trading volume has plummeted from a peak of approximately 125 million transactions on July 24, 2025 to the current level of approximately 64 million transactions.” – @CryptoOnchain pic.twitter.com/8MgIAb8p9i
— CryptoQuant.com (@cryptoquant_com) October 9, 2025
Solana price has recorded a slight decline over the past 7 days. SOL is still up 18% on a year-to-date (YTD) basis. At the time of writing, it is trading at an average price of $222.4. The 24-hour trading volume remains at approximately $8 billion.
Solana ETF approval probability reaches 99%
This could be a big week for Solana, as a final decision on the Spot SOL ETF could be made in the next few days. At Polymarket, traders have a greater than 99% chance of being approved this year. Bloomberg ETF analysts Eric Balchunas and James Seifert currently see a 100% chance of approval. They cited clearer regulatory guidance and a change in SEC leadership.
Solana ETF approval odds. Source: PolyMarket
Analysts believe the approval could open the floodgates to institutional demand. This will be the same catalyst that previously helped both Bitcoin and Ethereum reach record highs.
Meanwhile, Bitwise just revised its filing for the Solana ETF. Cryptopolitan reported that the asset management company is setting an annual management fee of 0.20% and adding staking features. Balciunas described the move as a “terrordome veteran’s maneuver” and said it could spark fierce competition among issuers.
