Solana DEX Shifts from Meme Coins to Stablecoins

The Solana DEX space is currently undergoing a major transformation, with the meme token trading volume plummeting. Once dominated by meme token frenzy, the trading trend is now shifting towards stablecoins.

Solana DEX Sees MemeCoin Trend Waning

According to recent data from Blockwork Research , memetoken trading on Solana DEX has plummeted from over 60% at the end of 2024 to under 30% currently. Conversely, SOL-based stablecoin trading volume has skyrocketed to its highest level since December 2023, signaling a notable change in investor preferences.

Over the past few weeks, this plummeting interest in Solana -based cryptocurrencies has been observed. This trend has also impacted the overall performance of the platform. While the platform’s daily trading volume stood at 4.8 million at the start of the year, it plummeted to 900,000 in August.

Significantly, experts comment that the growing concerns over memecoin scams have impacted the traders’ activity. Bitget’s chief analyst, Ryan Lee, stated, “The collapse of extractive meme coins, which drove speculative retail trading, is a primary factor in the sharp drop in daily DEX traders.” He added that Solana’s reliance on “volatile meme coin activity may undermine sustainable growth.”

SOL MemeCoins Lose Momentum

In line with the declining interest, the Solana-based cryptocurrencies are experiencing a downward trend. The total market cap has plummeted by a massive 8.2%, reaching $11.84 billion. Top tokens like PENGU, BONK, TRUMP, WIF, and FARTCOIN have experienced notable plummets of 5.5%, 4.0%, 0.9%, 2.1%, and 13.4% over the past 24 hours.

Over the past week, these cryptocurrencies have faced more severe declines of 8,3%, 13.4%, 9.4%, 8.2%, and 20.3%, respectively. This massive downtrend underscores the community’s cautious approach towards cryptocurrencies, especially memecoins, due to their speculative nature and increased vulnerability to scams and hacks.

As the Solana DEX landscape continues to evolve, the shift towards stablecoin trading and decline of memecoin dominance may lead to short-term volatility. But it could ultimately contribute to a more sustainable and stable growth trajectory for the platform. Investors and traders will be closely watching the blockchain's ability to adapt to changing market conditions and address concerns around memecoin scams, which will be crucial in determining the platform's long-term prospects.