Solana Faces Critical Test as Network Activity Plummets

The Solana blockchain is navigating turbulent waters this November, with its native token SOL experiencing significant downward pressure. Currently trading around $141, SOL has shed approximately 22% of its value since the beginning of the week. Beneath the surface price action lies an even more concerning trend: a substantial decline in user engagement that raises questions about the network’s near-term prospects.

While retail participation dwindles, institutional players are demonstrating considerable confidence in Solana’s ecosystem. Forward Industries leads this institutional charge with a substantial holding of 6.8 million SOL. This position was funded through a $1.65 billion private placement that attracted participation from prominent firms including Galaxy Digital, Jump Crypto, and Multicoin Capital.

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