Solana (SOL) network, a top-tier layer-one (L1) blockchain competing with Ethereum (ETH) to democratize smart contracts, has been a hot topic in the past few months. On one side, the Solana network has been applauded for onboarding millions of investors to the Web3 industry through its meme coins and decentralized financial (DeFi) platforms
As the fifth largest digital asset, the Solana network has over $4.3 billion in Total Value Locked (TVL) and over $3 billion in stablecoins market cap.
On the other hand, the Solana ecosystem has been castigated for not setting a good example amid the ongoing crypto bullish outlook. In addition to network outages, the Solana network is faced with network congestion, thus resulting in a high rate of unprocessed transactions.
Notably, the Solana network has registered heightened on-chain activity due to its meme coins which have a total valuation of about $7.69. Billion. Some of the top Solana-based meme coins include dogwifhat (WIF), and Bonk (BONK), among many others.
Short-Term Solana Price Expectations
According to a Solana price analysis by veteran trader Peter Brandt, the altcoin has reached a local top and will likely get trapped in a multi-week correction. With Solana’s price slipping below a crucial support level of around $171 on Wednesday during the early New York session, Brandt cautioned traders to proceed carefully to avoid forced liquidation.
Despite lagging behind the ongoing Gold and Silver rally, Brandt remains extremely bullish on Bitcoin price and the altcoin industry.
However, the short-term Solana weakness could be invalidated if the altcoin closes above $183 in the coming days.
