Solana (SOL) has taken a brutal hit, plunging 25% since May to $140—its lowest level since April. The collapse reflects deeper ecosystem troubles, from fading memecoin hype to shrinking DeFi activity.

The Perfect Storm Dragging SOL Down

1. Memecoin Meltdown
   • Solana memecoins lost $20B+ since January
   • Top tokens like Fartcoin (-25%), Popcat (-20%) bleeding out
   • Total memecoin market cap now just $9.29B (vs. $30B peak)
2. DeFi Activity Crumbles
   • DEX volumes halved in June ($46B vs. $97B in May)
   • Stablecoin transactions down 68% monthly
3. Technical Breakdown
   • Death cross (50D/100D MA) signals bearish momentum
   • RSI & MACD point to further downside risk

A Glimmer of Hope? Bullish Flag Forms

Despite the bloodbath, SOL shows one potential lifeline:
✅ Bullish flag pattern on daily charts
✅ Break above $156 (100D MA) could confirm reversal
✅ Fibonacci levels suggest $120 next if support fails