While the crypto market is going through a downturn phase, Solana (SOL) drops below $130, sowing doubt among investors. However, behind this sharp drop, the on-chain data outline a very different scenario. Whales buying, supply free-falling on exchanges, network activity booming: the fundamentals remain solid. A marked divergence between price and network reality, which could reshuffle the cards faster than imagined.
In a generally declining market, Solana’s case intrigues. The drop of the SOL price to around $120 in late December 2025 was seized as a buying opportunity by large addresses.
Thus, wallets holding between 1,000 and 10,000 SOL have significantly increased their positions since November. These investors now control nearly 48 million tokens, or 9 % of the circulating supply.
The heaviest wallets, those with more than 100,000 SOL, increased from 347 to 362 million tokens in two months, now representing 64 % of the circulating supply. This accumulation dynamic is supported by long-term holders, whose weekly net balance peaked at 3.85 million SOL on January 14, a level not seen for 15 months.
Several fundamental factors reinforce this bullish reading :
These data reveal a growing gap between short-term dynamics, driven by price, and underlying signals observed in the ecosystem. A gap that upcoming market moves could gradually close.
Beyond the accumulation dynamic, Solana faces a more contrasted reality. Dropping below $130 also reflects a correction phase affecting the entire market.
This downturn fits into a post-rally sequence where many altcoins undergo profit-taking. Such a context mechanically weighs on the crypto price, regardless of fundamentals. This recent drop marks the first dip below $130 since January 2, 2026, highlighting increased technical fragility.
Yet, network fundamentals are accelerating. The number of daily active addresses jumped 51 % over the last week, crossing 5 million, according to Nansen data. The daily transaction volume also rose 20 %, reaching 78 million operations by January 16.
At the same time, the supply of stablecoins hosted on the Solana network exploded by 15 % in seven days, hitting a record $15 billion. According to analysis relayed by Milk Road, this rise in stablecoins “represents new liquidity entering the network”, meaning more capital available for trading and decentralized application use.
Solana falters below $130, but fundamental signals remain solid. While the market undergoes a correction, whales rush in despite the price drop, betting on a recovery supported by network activity. This price/fundamental gap could announce a faster turnaround than expected.
