THE Solana SOL/USD blockchain saw significant network congestion on Monday as excitement surrounding the president-elect Donald TrumpMeme-themed tokens have triggered unprecedented trading volumes, leading to technical difficulties for the key infrastructure provider. Jito Laboratories.
What happened: Jito Labs reported “severe degradation” of its Block Engine API due to “unprecedented load levels”, although the company later confirmed that the stability of the service had improved following mitigation efforts. ’emergency. As the Solana network continued to process blocks, transaction submission through Jito’s service was temporarily affected.
Solana’s official X account retweeted a message from Jito Labs.
The congestion coincided with the launch of the MELANIA token on Solana by Melanie Trumpwhich surged more than 21,000% in 24 hours to reach a market capitalization of $11.39 billion. This follows the recent launch of the OFFICIAL TRUMP token, whose price fell 36% from $73 to $46 on Sunday evening, wiping out approximately $5 billion in market value.
The market turmoil has extended beyond meme tokens, affecting major cryptocurrencies. Bitcoin BTC/USD rose from $106,180 to $99,622, while Ethereum ETH/USD rose from $3,414 to $3,150. However, both cryptocurrencies have since recovered, with BTC reaching $108,560 and ETH climbing to $3,423.
See also: Elon Musk’s DOGE Co-Head Vivek Ramaswamy Set to Leave Trump Administrative Task Force Amid Ohio Gubernatorial Bid
Why it matters: Cryptocurrency analyst Ali Martinez revealed a successful short position in the OFFICIAL TRUMP token, while trader Altcoin Gordon revealed opening a $500,000 short position with a liquidation price of $90, targeting $55 for a potential profit of $2.7 million.
The events highlight the growing impact of political meme tokens on blockchain infrastructure and market stability. Reports indicate that CIC Digital LLCa subsidiary of the Trump Organization, and Combat Combat Combat LLC collectively own 80% of the OFFICIAL TRUMP token supply.
The timing of these market movements is particularly noteworthy because they occur during the period Martin Luther King Jr. Holiday, with the closure of traditional American stock markets and Trump’s preparation for his presidential inauguration scheduled for Monday.
Read next:
Image via Shutterstock
Disclaimer: This content was partially produced using AI tools and was reviewed and published by Benzinga editors.
News and market data powered by Benzinga APIs
© 2025 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
