Solana’s price has plummeted below $140 as whales offload their holdings and network congestion worsens. But while SOL struggles, investors are flocking to Solaxy, Solana’s first Layer-2 solution, which has already raised $23.5 million.Solana has had a rough few weeks, suffering a sharp decline that has seen it drop 19.5% in just seven days. After reaching an all-time high of $285 in January, SOL has now fallen below $140, bringing its market cap down to $67 billion.
Several key factors have contributed to this decline. The broader crypto market correction has hit altcoins particularly hard, with over $1.5 billion in liquidations in just 24 hours. Bitcoin itself has struggled, dropping below $87,000, triggering further panic selling.
Adding to Solana’s troubles, major trading firm Wintermute has been moving large amounts of SOL from Binance, fueling speculation of an impending sell-off. This comes ahead of a massive token unlock on March 1, when 11.2 million SOL will be released into circulation.
Meanwhile, Solana whales have been offloading their holdings. Data shows that 135 large investors, each holding over 10,000 SOL, have either sold or redistributed their assets in the past month. The influx of sell orders has overwhelmed demand, further accelerating SOL’s decline.
Despite these setbacks, some investors remain bullish. Analysts point to Solana’s Relative Strength Index (RSI), which has dropped to 15.9—its lowest in years. Such low RSI levels often signal oversold conditions and potential for a rebound.
However, long-term concerns about Solana’s scalability remain. The network has suffered repeated congestion issues during periods of high traffic, with transaction failures spiking to 75% during last year’s meme coin frenzy. These persistent inefficiencies have led many to seek alternatives.
Solaxy Presale Surges Past $23 Million as Investors Seek a Solana Layer-2 Fix
As Solana’s struggles continue, investors are turning to Solaxy ($SOLX), the blockchain’s first major Layer-2 solution. Unlike other projects reliant on SOL’s native infrastructure, Solaxy aims to solve Solana’s scalability problems using roll-up technology and zero-knowledge proofs.
The presale has already raised $23.5 million, with contributions surging by $1 million every five days. The current presale price of $0.001646 is set to rise soon, as demand for Solaxy grows.
SECURE YOUR SOLAXY TOKENS BEFORE THE NEXT PRESALE PRICE INCREASE – JOIN NOW
While Solana’s mainnet has suffered from congestion, Solaxy is designed to bundle transactions off-chain before posting them back to Solana, improving transaction speed and reliability. This would allow the network to scale efficiently while keeping fees low.
Whales Are Loading Up on Solaxy as SOL Bleeds
Despite the broader market downturn, Solaxy is attracting interest from deep-pocketed investors. One whale recently purchased $400,000 worth of $SOLX in five separate transactions, signalling strong institutional confidence in the project.
While Solana-based meme coins like Trump’s Official Token, Fartcoin, AI16Z, and WIF are all down by double digits, Solaxy’s presale remains unaffected by market turbulence. This has made it an attractive investment opportunity, particularly for those looking to hedge against SOL’s ongoing issues.
Solaxy’s Roll-Up Technology Could Finally Solve Solana’s Scalability Crisis
Solana has positioned itself as a high-performance blockchain with near-instant transactions and low fees. However, repeated congestion issues have tarnished its reputation, particularly among developers and traders who rely on smooth execution.
Solaxy introduces a roll-up architecture powered by zero-knowledge proofs, allowing transactions to be processed in batches before finalizing on Solana’s mainnet. This significantly reduces network strain, making Solana more reliable for large-scale applications.
Development progress on Solaxy has been swift. The state transition function and sequencer implementation are complete, and integration with Celestia for data availability has been finalized. Solaxy’s zkVM (zero-knowledge Virtual Machine) is now fully integrated with the Solana Virtual Machine, setting the stage for a seamless launch.
Additionally, Solaxy is working with Hyperlane to create a cross-chain bridge between Ethereum and Solana, making it easier for users to move assets between ecosystems. This added interoperability could further strengthen Solaxy’s position as a crucial infrastructure upgrade for Solana.
Can Solaxy Be the Best Crypto Investment in the Solana Ecosystem?
Despite Solana’s recent struggles, analysts believe the network still has long-term potential, particularly as the hub for meme coins and decentralized applications. However, scalability remains its Achilles’ heel.
Solaxy is emerging as the answer to these problems, offering a long-term solution that could future-proof Solana’s growth. The project’s low market cap relative to its potential makes it one of the most promising investments within the Solana ecosystem.
DON’T MISS YOUR CHANCE TO BUY SOLAXY AT PRESALE PRICES – INVEST NOW
With comparisons being made to Ethereum’s Layer-2 solutions like Arbitrum and Optimism – both of which achieved billion-dollar valuations – Solaxy is viewed as significantly undervalued.
Some analysts predict that $SOLX could achieve up to 50x returns for early investors.
Solana’s Loss Could Be Solaxy’s Gain
Solana’s crash below $140 has raised serious concerns about the network’s ability to handle long-term adoption. While some traders view the dip as a buying opportunity, others recognize the deeper structural issues that have plagued Solana for years.
Solaxy’s Layer-2 solution offers a much-needed fix, and investors are responding. With $23.5 million raised so far, the presale is gaining momentum as traders look for scalable alternatives within the Solana ecosystem.
The project is nearing its next presale milestone, and as demand grows, $SOLX’s price will continue to rise. Investors can participate in the presale directly on the project’s website using Ethereum ($ETH), Tether ($USDT), or a bank card.
Solaxy is also available via the Best Wallet app, where users can manage their holdings and track rewards in one place. Best Wallet can be downloaded from Google Play and the Apple App Store.
Discussion about this post