Solana is affected by congestion on the network. Congestion means the network is struggling to handle all of the transactions. In consequence, transactions on Solana are delayed and a number of incur higher transaction fees.

These automated systems try to prioritize their trades over average users. The activity peaked when latest meme coins launched on Solana.

source: solscan

This just isn’t the first time Solana is affected by congestion. SOL developers are working on patching the network, citing spa transactions are accountable. In consequence of the rise of meme coins on Solana, bot activity has increased.

The bots prioritize their trades over average users, which clogs the network.

Nonetheless, despite the negative effect on the chain, SOL-based meme coins remain resilient. Dogwifhat and Myro who’ve already established their presence are clinging to their gains.

source: CMC

High demand Slothana’s Preasle

The demand for SOL-based meme coins is ongoing. An awesome example of that’s Slothana. One would think that investors would flee from a sequence that may’t finalize transactions promptly.

Nonetheless, Slothana has raised $10M up to now with more individuals joining the presale. It demonstrates that despite all, meme coins have a substantial market and high demand.

source: Slothana

Investors from traditional markets resembling stocks and options may argue that meme coins are nothing but a trend which will eventually pass. The performance of past and present meme coins shows that this market is here to stay.

It’s obligatory to highlight that meme coins are prone to high volatility. Large price swings resembling 20% and even 30% in lower than 24 hours are common.