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Solana Rallies 5% on x402 Surge and New Proposal to Cut Token Supply

Solana Rallies 5% on x402 Surge and New Proposal to Cut Token Supply

Solana (SOL) surged over 5% in the past 24 hours, reaching $138.56 as x402 protocol transaction activity spiked over the weekend. At the same time, developers advanced a major proposal to reduce future token emissions, aiming for aggressive disinflation.This price rally aligns with growing interest in Solana’s ecosystem, fueled by technical upgrades and active on-chain participation. Together, these factors highlight stronger investor confidence in Solana’s long-term outlook.Sponsored

Price Momentum and Market ContextSolana’s price hit $138.56 on Nov 24, 2025, reflecting a 5.44% rise in 24 hours. Trading volume climbed above $6.36 billion, suggesting strong market engagement. SOL sits sixth among cryptocurrencies by market cap at $77.47 billion.While Solana trades well below its peak of $293.31, recorded on Jan 19, 2025, this latest uptrend showcases resilience amidst wider market uncertainty. With about 559 million SOL circulating from a total supply of 614 million, the asset continues to attract both institutional and retail attention.Major exchanges like Binance, Coinbase, Bybit, Upbit, and CoinUp.io report a price range of $136.04 to $138.63 for SOL, indicating high liquidity and stable market confidence—even amid notable volatility.Sponsored

x402 Activity Drives Weekend SurgeLast weekend, the x402 protocol saw transaction records broken. On-chain analyst Rishin Sharma reported that the protocol processed over 500,000 transactions and more than $100,000 in volume, setting daily highs on Nov 23.
huge weekend for x402 activity on @solana
–> 500k+ txns / $100k+ volume processed over the weekend, 11/23 saw daily ATHs in both categories
–> 500% WoW growth in activitystill early, let’s check in on this in a few weeks pic.twitter.com/jiUihtQST2— Rish (@_rishinsharma) November 25, 2025
This 500% week-over-week growth points to accelerating demand for x402—now seen as a key part of network engagement. Such surges validate Solana’s speed and scalability, increasing optimism among traders and developers. Analysts note this trend as a positive sign for Solana’s overall ecosystem health.Sharma highlighted that x402’s momentum is just beginning, meaning activity could grow further. This early growth demonstrates Solana’s ability to host fast, cost-efficient applications at scale.Sponsored

SIMD-0411 Proposal Targets Aggressive DisinflationSolana developers are actively debating SIMD-0411, a proposal from Helius Labs to double Solana’s annual disinflation rate from 15% to 30%. The goal is to lower inflation from its current 4.18% rate to a long-term terminal rate of 1.5% sooner.With the current schedule, Solana would reach the 1.5% target by 2032. If SIMD-0411 passes, that milestone could move up to 2029, removing about 22.3 million SOL from potential supply—a 3.2% cut versus today’s trajectory.Supporters claim the plan adds certainty for node operators. Accelerated disinflation could tighten token supply faster than on most blockchains, potentially driving scarcity-based price gains. One market analyst highlighted the benefit, saying that removing billions in sell pressure would fundamentally improve Solana’s value proposition.
SOLANA IS ABOUT TO GET A WHOLE LOT MORE SCARCE#Solana devs just proposed something big: doubling the disinflation rate so the network reaches its 1.5% terminal inflation twice as fast.This isn’t a minor update — it’s a full acceleration of Solana’s economic engine.What it… pic.twitter.com/ZIqLBN4Vqk— CryptosRus (@CryptosR_Us) November 22, 2025
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Yet, the proposal also raises concerns. If staking yields decline, 47 low-stake validators could become unprofitable by year three. Critics warn that this might concentrate influence among larger validators, challenging the network’s decentralization goals.The official SIMD-0411 document, submitted on Nov 22, 2025, explains the technical and economic rationale, the governance process, and the expected impacts. Community debate is ongoing as stakeholders weigh faster disinflation against risks to validator sustainability.Market Sentiment and Future OutlookMomentum from x402 activity and the SIMD-0411 proposal has galvanized Solana’s community. Social channels show growing optimism, with some calling the SIMD-0411 proposal a turning point for Solana’s economy.Still, opinions are divided. While some expect further gains due to scarcity and ecosystem growth, others worry that lower staking returns could drive out smaller validators and restrict participation. The next few weeks will show whether the community rallies behind the proposal or if validator opposition grows.

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