It’s no secret that the crypto industry hasn’t been looking good recently, with red almost across the board. Even so, some coins are already showing signs of recovery and ended trading yesterday in the green once more, among them Chainlink, BNB, SUI, and Solana.
Solana’s resilience is drawing attention to a related meme coin, Solaxy ($SOLX), the first Solana Layer 2 that aims to help the giant blockchain maintain its positive momentum.
What Caused Crypto to Crash?
A couple of key factors can be said to have brought about the recent crypto collapse.
Bybit Hack Likely Caused Liquidity Outflows
On February 21,.$1.4B in cryptocurrency assets were stolen during a routine transfer from Bybit’s offline ‘cold’ wallet to its online ‘hot’ wallet. Bybit — the world’s second-largest cryptocurrency exchange by volume, handles assets of around $12B, according to CoinMarketCap. The hack is believed to be the work of the Lazarus Group, a notorious hacking group with ties to North Korea.
The hackers are suspected to have gained access to Bybit’s user interface through phishing attacks against cold wallet signers. They were then able to initiate unauthorized transfers and reroute approximately 401,000 $ETH ($1.4B), which was then moved through intermediary wallets and traded with other tokens on DEXes.
Despite reassurances from Bybit that the losses were fully covered, either by its other assets or loans, the hack has caused traders to feel uneasy, a sentiment which has been reflected in the crypto markets this week.
Bitcoin ETF Liquidation and Tariff Threats
Coinglass data reported a 24-hour liquidation of $779M in trading positions across the board yesterday. As we know, liquidations cause an increase in supply, and this, coupled with stagnating demand, has led to a price decrease.
The Bitcoin price suffered a drop to just below $86K on February 25, 2025 and liquidations of some $779M, causing ripples throughout the crypto market, as well as in TradFi markets that include crypto ETFs.
The Economic Times reported that President Trump’s renewed tariff threats, specifically against Mexico and Canada, could weaken economic growth and increase inflation. Popular YouTube channel Altcoin Daily echoed these concerns.
Increased tariffs lead to trade tensions and economic uncertainty, and typically cause investors to be more cautious. Whether because of the need for cash or due to a switch to a more risk-averse investing behavior, all roads seem to lead to crypto liquidations right now.
Tariffs also increase the costs of imported goods, which could increase inflation. If this happens, banks may raise rates, causing liquidity to dry up because people are spending more for the same things.
Despite this gloomy outlook, some cryptocurrencies are defying expectations, among them Solana, the home of the meme coins.
Solana’s Resilience Attracts Investors to Solaxy Presale
While the rest of the market crashes, Solana is holding onto most of its value, having only lost 0.4% in the past 24 hours. Indeed, Solana has had a great year so far, reaching an all-time high of $294.33 just last month on the back of meme coin launches on its blockchain like $TRUMP and $MELANIA.
Even so, the surge in traffic caused the blockchain to buckle, resulting in congestion, delays, and failed transactions.
Solaxy ($SOLX), a new meme coin in presale, could be just what the doctor ordered to keep Solana performing at peak. Solaxy aims to build a Layer 2 solution to address Solana’s scaleability issues and may just help Solana aim for new heights.
Solaxy Could Help Solana Soar
Still in its presale phase, the proposed Solaxy chain will batch-process transactions off-chain before applying them back to the main Solana chain. This will speed up transactions and also make them potentially more cost-effective.
Capacity and speed issues have plagued the Solana blockchain for some time. One of the best altcoins to buy now, Solaxy could solve these issues and help Solana beat the odds in a bear market.
Since launching in December 2024, $SOLX has raised over $23M, becoming one of the best presales to invest in this year. The coin currently sits at a low $0.001648.
Investor incentives include staking rewards, which are available in the presale and after. Holders will also enjoy lower transaction fees once the Solaxy L2 is built.
Solaxy has been audited by Coinsult, which confirmed the smart contract is secure, so $SOLX is a safe investment from a technical standpoint.
Solana’s Relative Stability is a Good Reason to Invest in Solaxy Now
With its launch on exchanges coming soon, now might be a perfect time to invest in Solaxy, as Solana has shown its viability in a bearish market.
History can be a good indicator of success, but then again, past performance is not always indicative of future results. That said, Solaxy could impact Solana as much as Ethereum’s Layer-2 scaling solution impacted the price of $ETH. This improvement saw a more than double value increase.
As a meme coin, Solaxy ranks highly in many current reviews and has clear tokenomics information. Here’s how to buy Solaxy if you want to have a chance at those 10x gains.
Please remember that $SOLX is a meme token, and, as such, it can experience high price volatility when it launches. This is not intended as financial advice, and you should always conduct your research before making any investments, especially high-risk crypto buys.
