Solana (SOL 0.36%) has shed about 48% of its value in just the last six months. The meme coin frenzy that once powered Solana’s trading activity has become a reputational liability, and the broader crypto sell-off since October 2025 has compounded the damage substantially.
But declaring the blockchain a lost cause as an investment would be hasty. The network’s technical roadmap and institutional partnerships tell a more complex story than the price chart suggests. Here’s what’s dragging the coin down, and what could pull it back up over the next couple of years.
Image source: Getty Images.
The meme coin shadow isn’t fading quickly
Much of Solana’s pain traces back to Pump.fun, the meme coin launchpad project that became the network’s most visible product.
Pump.fun has facilitated the launch of over 11.9 million meme tokens since its inception in 2024, but, at least according to blockchain analytics company Solidus Labs, approximately 98.6% of those showed rug-pull behavior, the unethical but common practice of creators draining liquidity and leaving buyers with worthless coins. A federal court has since approved a class action lawsuit against Pump.fun, Solana Labs, and other linked projects, alleging market manipulation at the network level.
So there’s now a significant legal problem as well as an unsavory and unserious reputation weighing Solana down. Both could take years to fully resolve.
Today’s Change
(-0.36%) $-0.34
Current Price
$93.40
Key Data Points
Market Cap
$54B
Day’s Range
$92.57 – $94.02
52wk Range
$70.61 – $252.78
Volume
2.5B
The financial consequences might not be favorable; spot Solana exchange-traded funds (ETFs), which launched in late 2025, saw total net assets peak above $1.2 billion in January, before collapsing and then eventually recovering to just $937.8 million by May 8. Total value locked (TVL) in decentralized finance (DeFi) on the chain has declined from a September 2025 all-time high of $13 billion to around $5.5 billion as of this writing.
When a blockchain’s most prominent applications are associated with fraud, real capital tends to stay away.
The infrastructure is still first-class
The appeal of Solana’s technology hasn’t collapsed alongside its price. If anything, it’s getting better, which is attracting important businesses to the chain.
Western Union is launching a dollar-backed stablecoin on the chain, and J.P.Morgan Chase‘s asset management arm is developing a stablecoin reserve infrastructure on Solana. These are two signals about the future of cryptocurrency infrastructure that have nothing at all to do with meme coin speculation.
Of course, these players building on Solana don’t make the coin a comfortable purchase today. The legal risks from the Pump.fun lawsuit are real, and the coin has demonstrated it can fall much further than most holders anticipate. For investors weighing whether cryptocurrency is a good investment, Solana lands near the riskier end of the spectrum.
But a coin attracting this caliber of institutional engagement isn’t heading toward zero. There’s a credible path to recovery, so don’t give up on Solana.
