Solana DEX Trading Volume Plummets to $2.61B, Marking Lowest Level Since Mid-December

Solana DEX trading volume dipped to $2.61 billion on February 16, marking its lowest point since mid-December as the decline persists. The downturn follows a broader market slowdown, with major Solana-based DEXs experiencing sharp drops in activity.

Raydium witnessed a 45% drop, while Orca’s volume slipped by nearly 30% over the past week. However, Meteora defied the trend, posting an 18% surge in trading volume.

According to DeFiLlama data, Solana DEXs recorded approximately $20.2 billion in trading volume for the week ending February 16, extending a five-week decline. The blockchain’s on-chain transaction volume also fell 28% week-over-week, hitting $31.8 billion by February 10.

Meme Coin Fatigue Weighs on Solana DEXs

While Raydium remained the top Solana DEX with $836.37 million in volume, Meteora followed closely at $658 million, outpacing Orca, which recorded $544.4 million.

One significant factor behind Solana’s trading volume decline is the diminishing enthusiasm for meme coin trading. The explosive rise of new tokens during the bull run has led to frequent pump-and-dump schemes, rug pulls, and insider manipulation, causing many traders to lose confidence.

CryptoQuant analyst Axel Adler Junior highlighted this concern, stating that meme coins are negatively impacting the Solana ecosystem. Recent scandals, including a major rug pull involving LIBRA, have only intensified fears. As a result, SOL’s price has plunged over 10% in the past week and currently stands 40% below its January peak.

Further pressure looms on the horizon, as 11.2 million SOL is set to be unlocked on March 1. These tokens, originally offloaded during FTX’s bankruptcy, are now in the hands of firms like Galaxy, Pantera, and Figure, adding uncertainty to the market.

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