Solayer Crypto Freefaling: What Happened to LAYER?

Crypto project Solayer experienced a sudden drop in the price of its native token by more than 40%. This happened right after it reached an all-time high, literally hours before that.

The native token of the project, had more than $1 billion in volume for the last 24 hours. But why is it dropping? Is there something wrong, or just aggressive profit taking?

Crypto Coin LAYER Getting Destroyed

Recent market volatility left Solayer holders with open mouths. Right after the project hit an all-time high of $3.4, it went down like a stone in a lake. The last 3 months, it has been climbing nonstop since yesterday—classic elevator, as we would say.

Stairways up, elevator down
Classic $LAYER pic.twitter.com/YVFBwCVeky
— Livercoin (@Livercoin) May 6, 2025

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Solayer is built on Solana networks, and it is a prominent restaking protocol and hardware-accelerated blockchain. This means they are trying to offload to specialized hardware, which allows for better scalability, security, and overall effectiveness.

This is why projects like Solayer are important technologically for the future of crypto. But what made LAYER drop like this?

By the looks of it, no significant info suggests something bad is happening behind the scenes. Some suggest that this is happening because of the unlock that will occur on May 11, 2025.

Around 13% of the supply will be unlocked (~27 million tokens), which is definitely going to be something to behold.

$LAYER | @solayer_labs ?
With over 50% lost in 2 days, the project is under massive criticism right now.
13% of $LAYER’s total supply (around 27M tokens) is scheduled to unlock this week which contributed to the sell pressure.
Just some market manipulation or something else?… pic.twitter.com/V3A0t8EWnK
— OCT Trades (@oct_trades) May 6, 2025

Maybe this is typical crypto volatility of a project that just hit an all-time high. Everybody is trying to short the top, and sometimes they succeed, just like now. The key difference between profit taking and some exploit or bad news is that it happens gradually over a longer period.

This suggests that, combined with the upcoming unlock and expected volatility of the upcoming FOMC on the whole crypto market, this was exaggerated. Overall, crypto sentiment around the project is very negative, accusing it of pumping and dumping, which is something that we have seen many times.

Surely, top holders taking huge profits also cause the project to suffer unimaginably. Not only that, but smaller holders also take the punch straight to their face.

$LAYER ( SOLAYER) – the scam exit happening in real-time.
Looks like the large supply holder is making a quiet exit today during Asia session, 5 days ahead of unlock.
-Built a massive short via perp, pushing funding down. –Slowly unwinding spot long.
the gig is up. pic.twitter.com/b5iGvZLik5
— onchainquant (@onchainquant) May 6, 2025

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Another Solana First of Its Kind Mover

Being first at something or one of the frontiers of some technology is always a winner. Just like Solayer is battling with restaking and hardware-acceleration, Solaxy is improving Solana technology.

It is the first-ever layer 2 on Solana that improves the scalability, security, and user experience. We all know that in times of high volume and volatility, Solana often takes a hit. Solaxy’s scalability and off-chain execution are fixing this problem. Not only that, but it also helps with failed transactions and congestion.

Solaxy has a native token that will be on both the Solana and Ethereum blockchain, further increasing the visibility and having better liquidity.

The native token $SOLX is currently on presale with a price per coin of $0.001716. Everyone who participates and buys the token now gets the best deal that there will be.

Also, Solaxy has a staking program that additionally increases the rewards for the holders.

Right now, you can stake your coins for an amazing APY of 120%, which is one of the best on the market. Soon, there would be more than 10 billion coins in total staked … you know what I mean.