Solana Sustains DEX Dominance with $27.9 Billion Volume Amid Cooling Momentum and Cautious Technical Indicators

• Solana (SOL) continues to dominate the decentralized exchange (DEX) landscape, with a remarkable $27.9 billion in weekly trading volume, outpacing Ethereum and BNB Chain.

• The Solana ecosystem’s strength is evident, as four Solana applications rank among the top 10 fee generators, highlighted by the Believe App’s impressive $3.68 million in daily fees.

• Despite its recent triumphs, technical indicators like RSI suggest a cooling momentum, as SOL approaches a phase of potential consolidation near critical support levels.

Solana leads the DEX market with $27.9 billion in weekly volume while its momentum signals a possible consolidation phase. Key indicators suggest cautious market sentiment.

Solana Leads DEX Market With $27.9 Billion Weekly Volume and Surging App Activity

Solana continues to assert its dominance in the decentralized exchange (DEX) ecosystem, leading all chains in trading volume for the fourth consecutive week.

Over the past seven days alone, Solana recorded $27.9 billion in DEX volume—surpassing BNB Chain, Ethereum, Base, and Arbitrum.

Top Chains by DEX Volume. Source: DeFiLlama.

The weekly DEX volume for Solana surged by 45.78%, signaling a strong resurgence in on-chain activity after decreasing activity between March and April.

This rise is not just a spike; it marks the continuation of a broader trend, with volumes consistently remaining above the $20 billion mark for the past month.

Top Apps and Chains by Fees and Revenue. Source: DeFiLlama.

Adding to its momentum, Solana is home to four of the past week’s ten highest fee-generating apps and chains. This includes familiar platforms and newcomers, showcasing a robust diversity in the ecosystem.

Among these, the Believe App emerged as a standout, generating $3.68 million in fees within the last 24 hours, surpassing well-established platforms like PancakeSwap, Uniswap, and Tron.

Momentum Cools for SOL as Indicators Turn Neutral

Solana’s Relative Strength Index (RSI) has dropped to 51.99, down from 66.5 just three days ago, signaling a clear loss of bullish momentum.

In recent sessions, the RSI has oscillated between 44 and 50, reflecting a more neutral market sentiment after previously nearing overbought conditions.

SOL RSI. Source: TradingView.

The RSI is a momentum indicator that ranges from 0 to 100, with values above 70 indicating overbought conditions and below 30 signaling oversold territory. At 51.99, Solana sits in the neutral zone, which typically signifies a period of consolidation or indecision.

Should the RSI rise above 60 again, it could indicate renewed bullish strength, while a decline below 45 may result in additional downside pressure.

Solana’s Ichimoku Cloud chart reveals a period of consolidation following a strong uptrend, with current signals suggesting indecision.

The price hovers near the Kijun-sen (red line) and Tenkan-sen (blue line), both of which have begun to flatten—suggesting a slowdown in momentum.

The Chikou Span (green lagging line) remains above the candles, indicating that the broader trend still exhibits a bullish bias. However, the narrow distance between it and the current price action reflects diminishing strength.

SOL Ichimoku Cloud. Source: TradingView.

The Kumo Cloud (green and red shaded area) ahead remains bullish, with the leading span lines spread apart, providing support beneath the current price.

However, as candles interact closely with the Kijun-sen and fail to strongly break above the Tenkan-sen, the short-term sentiment appears cautious.

Should the price decisively surpass the blue line, momentum may be rekindled, while any drift into the cloud could mark the onset of a more extended consolidation phase or possible trend reversal.

Solana’s Bullish EMA Structure Faces Momentum Slowdown

Solana’s Exponential Moving Average (EMA) lines maintain a bullish structure, with shorter-term moving averages positioned above their longer-term counterparts. Nevertheless, the narrowing gap between these lines suggests that upward momentum may be faltering.

Recently, Solana’s price struggled to breach a significant resistance level. While a retest might pave the way toward reclaiming the $200 zone, the lack of strong follow-through raises concerns about the trend’s integrity.

SOL Price Analysis. Source: TradingView.

Complementing this cautious outlook, the Ichimoku Cloud and RSI indicators point toward a potential cooldown. Although Solana recently remained above an essential support level, it remains susceptible; a break below this support may lead to further downside.

While the overarching market structure still leans bullish, current conditions place it at a critical juncture. The subsequent market movement is likely contingent upon whether buyers can regain control or if sellers will assert dominance through key lower levels.

Conclusion

In summary, Solana’s impressive $27.9 billion in DEX volume underscores its ongoing dominance in the decentralized finance space. However, with technical indicators signaling potential consolidation, market participants should maintain a cautious stance while monitoring key support levels.