Solana Network Activity and Price Trends

The number of active addresses on the Solana (SOL) network has dropped significantly in recent months, despite an increase in Solana price.

Market analyst Ali reported that active addresses fell from 18.5 million in October 2024 to 8.4 million in February 2025, marking a decline of over 50%. However, the price of SOL has risen from $161.34 to $197.86 in the same period.

Network Activity Declines After October Peak

According to the data, Solana obtained the highest network activity on October 22, 2024, with 18.54 million active addresses. This period of increased engagement coincided with a SOL price of $161.34, suggesting a strong correlation between network usage and price movement.

By February 15, 2025, active addresses had fallen to 8.37 million, reflecting a sharp reduction in user participation. This drop raises questions about changing user behavior and network engagement trends over time.

Solana Price Gains Despite Fewer Active Users

SOL price grows while active users decrease, which probably indicates that growing SOL value is a result of a few engaged consumers. Thus, although the network has not experienced increased activity, the price of SOL has gone up to $197.86 by mid-February.

This is a positive sign as far as investors are concerned, even though the on-chain activities have slightly gone down.

As shown in the chart above, price and active addresses are highly correlated over certain periods of time. In relative terms, both were on the rise, marked by strong network growth and market confidence in October and November 2024.

From that high, price resistance occurred while the number of active addresses declined in December. This may signify that a large number of low-value transactions are made by a few users or that trading is based on speculation to affect the price.

Solana Price Technical Indicators Show Bearish Trends

The Relative Strength Index (RSI) is at 32.16, slightly below the oversold level of 30. When the RSI is below this level, it can be interpreted as a buy signal. However, if selling continues, it may indicate a further price decline.

The Money Flow Index (MFI) is currently at 39.98, meaning that there is low money flowing out of SOL.

Resistance levels that may be applied are $180 and $200, while support levels are $170 and $160. If RSI crosses 40 and the price remains above $180, it will hint towards a recovery.

Open Interest Sees a Decline

Total open interest has reduced by 2.23% over the last 24 hours. Regarding SOL’s value, perpetual open interest has reduced by 2.25%. A decline in open interest indicates a low level of participation from traders or investors.

According to the data, most of Solana’s derivatives are traded on Binance, which has a volume of $1.1 billion, followed by Bybit with $819.3 million, and OKX at $382.5 million. This focus of open interest on these platforms indicates that changes in trader positions on Binance and Bybit could result in significant market changes.

Technical indicators show bearish signals on Solana price, with RSI nearing oversold levels and declining open interest. However, if SOL maintains support above $170 and open interest starts increasing again, a potential price rebound could occur.