The Solana (SOL) network has shown strong activity compared to other protocols in recent weeks, thanks to its accessibility and affordable commissions. The Solana ecosystem has seen growth also thanks to the recent memecoin frenzy
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Token Creation on the Rise
This combination of factors has led market participants to create numerous tokens on the Solana network to benefit from user interest. New data indicates that more than 20,000 new tokens are created on Solana every day.
While this indicates a vibrant ecosystem, creating so many tokens on the network may have some risks
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One of the main concerns concerns the possibility of ‘rug pulls’, or scams, that could affect the addresses that hold these tokens. Even if this behavior is expected at the launch of memecoins, it could still affect overall sentiment around the Solana ecosystem
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Positive Feeling Despite Critical Issues
Despite the increase in ‘rug pulls’ on Solana’s network, sentiment around the network has remained high. AMBCrypto’s analysis of Santiment data indicated that weighted sentiment around Solana has grown significantly in recent weeks, suggesting that the number of positive comments outweighed the negative ones at the time of
writing.
In addition, the social volume around the Solana network has increased significantly. However, the positive sentiment was not reflected in SOL’s recent price movements
.
SOL Price Outlook and Possible Impacts
Over the past 24 hours, the price of SOL has fallen 6.21% and stood at $179.75 at the time of writing. This correction could be a reaction to SOL exceeding the $200 threshold. If SOL can retest this level, it could record additional gains
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However, SOL’s Chaikin (CMF) cash flow declined during this period, indicating a potential decrease in buying pressure for SOL, which could affect its ability to see future earnings.
