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

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

source: solscan

This just isn’t the primary time Solana is affected by congestion. SOL developers are working on patching the network, citing spa transactions are accountable. As a result 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 is Slothana. One would think that investors would flee from a sequence that can’t finalize transactions promptly.

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

source: Slothana

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

It is necessary to spotlight that meme coins are susceptible to high volatility. Large price swings resembling 20% and even 30% in lower than 24 hours are common.