Red alarm for solana: Memecoin income collapses, a 40 %drop signal against ETH
Does Solana's rise against Ethereum end? Technical analysis and memecoin -induced chain data support a 40 %decrease scenario. Standard Chartered warns: "If it does not diversify, weakens against ETH."
Solana signals a 40 %decrease in the face of Ethereum: Memecoin wind is out
Technical formations, the collapse of Memecoin revenues and Ethereum’s L2 growth may be a harbinger of a harsh decline in the left/ETH parity. Standard Chartered: “Solana is too dependent on Memecoins.”
Solana (left) has long been at risk of losing its superiority over Ethereum (ETH) for a long time. The Left/ETH parity indicates a 40 %potential decrease by breaking the technically rising wedge formation.
In the same period, the memecoin-induced process volume and income falls hard in the sole chain, while Ethereum strengthens its infrastructure with layer-2 solutions. According to Standard Chartered’s new report, Solana may lose the ground against Ethereum strikingly.
📉 The rising wedge was broken: 40 %decrease target
As of May 29, the left/ETH parity broke the downward rising wedge formation.
In technical analysis, this formation usually triggers a decrease as much as the height of the formation.
According to this scenario, the target level is 0.038 ETH in July - this means a decrease of approximately 40 %.
50 -week EMA (0.0628 ETH) is currently an intermediate support. However, if the weekly closing occurs below this level, the decrease may gain momentum.
📊 Memecoin collapse: Solana’s income engine stopped
Memecoin platforms such as pump.fun on Solana broke records in Q1 2025 daily trading fees.
However, since April, daily income has decreased rapidly to the lowest levels of the year (Dune Analytics).
In December 2024 - March 2025, 3 million left trading fees are collected, this performance can no longer be maintained.
🏦 Standard Chartered: Solana loses the ground against Ethereum
In the report dated 27 May 2025, the bank warned the following:
“Solana will lose its advantage over Ethereum’s infrastructure if it cannot provide diversification.”
Ethereum increased its scalability with layer-2 solutions (arbitrum, optimism, etc.) and offers more robust defiants, NFT and corporate infrastructures.
Moreover, these networks began to work with Solana similar transaction fees.
🔮 What to watch?
The 0.038 ETH level in the Sol/ETH parity stands out as the target of decline.
On the contrary, if the upper trend line of the Wedge formation is broken again, the decline scenario may be canceled.
However, both internal data and market behavior confirms that Solana has lost power.
