Solana lags altcoins — SOL down 32% since Nov as on-chain fees and DApp revenue fall despite ETF inflows and large treasury buys
first published 2025-12-18T21:33:57Z
SOL has underperformed the broader altcoin market, falling 32% since November vs. -21% for altcoins amid weakening Solana network demand. While $636M of US Solana ETF inflows since July and ~20.35M SOL (~$2.5B) added to company treasuries limit some sell pressure, about 68% of circulating SOL (418M) is staked. Weekly network fees dropped to $4.5M from $7M and DApp revenue fell 30% to $26M/week. Transaction growth has shifted to competitors (Base +34%, Arbitrum +21%, Polygon +89%) and BNB/Tron also gained. The story concludes SOL is unlikely to regain outperformance without a clear reversal in on-chain activity.
AI Analysis
SOL has fallen 32% vs. -21% for altcoins; weekly fees fell from $7M to $4.5M and DApp revenue dropped 30% to $26M/week, indicating weaker network demand. Offsetting factors are $636M in US Solana ETF inflows since July, ~20.35M SOL added to treasuries (~$2.5B), and ~68% of circulating SOL staked (418M), which limit immediate sell pressure. Competitors show transaction growth (Base +34%, Arbitrum +21%, Polygon +89%), supporting the assessment that on-chain weakness is needed to reverse to regain outperformance.
Expected Investor Sentiment: Bearish
Potential Market Impact: Significant
